How JustAnswer Works:

  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.

Ask JoeLawyer Your Own Question

JoeLawyer, Attorney
Category: Bankruptcy Law
Satisfied Customers: 767
Experience:  Attorney in the practice of Bankruptcy Law since 1996
Type Your Bankruptcy Law Question Here...
JoeLawyer is online now
A new question is answered every 9 seconds

Our BK 13 was confirmed on Nov 2012 and included Federal &

Customer Question

Our BK 13 was confirmed on Nov 2012 and included Federal & State Tax Debt. We just had our 2012 taxes done & owe the IRS $3,600 (as a result of losing our home in a foreclsure sale in Jan 2012 & losing the deductions) AND we are receiving a $1,000 refund from the State. We don't have the money to pay the IRS and I'm extremly stressed about what impact thay will have on the tax debt portion of our BK 13.
Also not sure if we will recieve the State refund (would help us pay the IRS debt) & if the trustee will be notified of the 2012 IRS debt due & the refund from the state.

I'm hesitant to call our BK 13 attorney because I was also laid off in Jan 2013 and I'm concerned about our BK 13 case being cancelled/reviewed again since we barely qualified due to our income.

Any advice would be GREATLY appreciated. Thanks
Submitted: 2 years ago.
Category: Bankruptcy Law
Expert:  JoeLawyer replied 2 years ago.

Post-petition tax liability (i.e. taxes you owe after the bankruptcy was originally filed) normally cannot be added to a Chapter 13 Plan. Also, tax refunds during a Chapter 13 are normally given to the debtor, even if that debtor owes old taxes, since those old taxes are dealt with in the Plan and the Bankruptcy Code prohibits the IRS/State from seizing refunds of people in Chapter 13.

So, it is likely that you will receive the $1,000 state refund even though you have old state tax liability in the Chapter 13 Plan.

Chapter 13 debtors in that situation normally use the state refund to pay toward the federal liability, and then contact the IRS to set up payments on the remainder of the federal liability.

However, some Plans are drafted where the debtor has to pay all or a portion of tax refund(s) to the Trustee to help fund the Plan. So, you would need to see if your Chapter 13 Plan has any provision requiring you to pay all or a portion of the refund to the Trustee, and if not, then you could pay a good chunk of the federal liability off with the state refund and then try to set up reasonable payments with the IRS on the rest.

Obviously we can't give legal advice on this website, only provide information, so for advice you should consult your attorney.


LEGAL NOTICE: I am only licensed to practice law in certain state(s) and I cannot give legal advice to someone who does not reside in a state in which I am licensed, nor shall anything I say in the above answer or elsewhere on this site be deemed legal advice, even to someone who resides in a state in which I am licensed. Funds I receive from are gratuities paid to me for taking the time to respond to questions, not for legal advice. This forum is designed to provide general information only, and information herein is not warranted to be correct or applicable in any way since laws may have been misinterpreted herein, since laws change from time to time, and since the impact of those laws on any particular situation varies. The information presented in this site shall not be construed to be formal legal advice nor the formation of an attorney-client relationship. Persons accessing this response are encouraged to seek independent legal counsel in their jurisdiction for guidance regarding their individual circumstances. Do not take any action or inaction based on information presented herein since it is informational and may not be accurate or applicable to you; it merely attempts to give you a basis of knowledge to help you formulate questions to ask a legal or other professional in a face-to-face meeting in your jurisdiction. JoeLawyer is an attorney but does not hold himself out to be a specialist or expert in any area, regardless of assertions made by any third party, and any implication of being an expert or specialist herein is made in error. I hope the information presented above is useful to you. Answer above is (c) JoeLawyer. All rights reserved.

JustAnswer in the News:

Ask-a-doc Web sites: If you've got a quick question, you can try to get an answer from sites that say they have various specialists on hand to give quick answers... seen a spike since October in legal questions from readers about layoffs, unemployment and severance.
Web sites like
...leave nothing to chance.
Traffic on JustAnswer rose 14 percent...and had nearly 400,000 page views in 30 days...inquiries related to stress, high blood pressure, drinking and heart pain jumped 33 percent.
Tory Johnson, GMA Workplace Contributor, discusses work-from-home jobs, such as JustAnswer in which verified Experts answer people’s questions.
I will tell you that...the things you have to go through to be an Expert are quite rigorous.

What Customers are Saying:

  • Mr. Kaplun clearly had an exceptional understanding of the issue and was able to explain it concisely. I would recommend JustAnswer to anyone. Great service that lives up to its promises! Gary B. Edmond, OK
< Previous | Next >
  • Mr. Kaplun clearly had an exceptional understanding of the issue and was able to explain it concisely. I would recommend JustAnswer to anyone. Great service that lives up to its promises! Gary B. Edmond, OK
  • My Expert was fast and seemed to have the answer to my taser question at the tips of her fingers. Communication was excellent. I left feeling confident in her answer. Eric Redwood City, CA
  • I am very pleased with JustAnswer as a place to go for divorce or criminal law knowledge and insight. Michael Wichita, KS
  • PaulMJD helped me with questions I had regarding an urgent legal matter. His answers were excellent. Three H. Houston, TX
  • Anne was extremely helpful. Her information put me in the right direction for action that kept me legal, possible saving me a ton of money in the future. Thank you again, Anne!! Elaine Atlanta, GA
  • It worked great. I had the facts and I presented them to my ex-landlord and she folded and returned my deposit. The 50 bucks I spent with you solved my problem. Tony Apopka, FL
  • Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help. Mary C. Freshfield, Liverpool, UK

Meet The Experts:

  • Terry L.


    Satisfied Customers:

    Better Business Bur 15yrs bankruptcy experience. Chicago Bar
< Last | Next >
  • Terry L.'s Avatar

    Terry L.


    Satisfied Customers:

    Better Business Bur 15yrs bankruptcy experience. Chicago Bar
  • cortrightlaw's Avatar



    Satisfied Customers:

    Attorney practicing Bankruptcy Law including Chapter 7, Chapter 11, Chapter 12, and Chapter 13.
  • dylatess's Avatar



    Satisfied Customers:

    37 plus years of experience specializing in bankruptcy law
  • JoeLawyer's Avatar



    Satisfied Customers:

    Attorney in the practice of Bankruptcy Law since 1996
  • Brent Blanchard's Avatar

    Brent Blanchard

    Bankruptcy Attorney

    Satisfied Customers:

    Twelve years experience in all aspects of debtor & creditor BK.
  • A.J.'s Avatar



    Satisfied Customers:

    Experienced consumer bankruptcy attorney.
  • Fritz's Avatar



    Satisfied Customers:

    Florida attorney with extensive experience in Chapter 7 and Chapter 13 consumer bankruptcy cases