When an IRA owner dies and designates an heir, other than his spouse, as the beneficiary of his IRA the beneficiary acquires an “inherited IRA” from the decedent. Federal bankruptcy exemptions protect IRAs up to approximately $1 million. Some bankruptcy ... Read full article
There has been significant bankruptcy litigation over whether or not a debtor loses his Florida homestead exemption if he uses his home to conduct business. Courts are divided; the law differs depending upon the district where the debtor files ... Read full article
A married man used exempt money from his retirement funds to pay off a $400,000 mortgage on his homestead . Within three years thereafter, the same man filed Chapter 7 bankruptcy. The Chapter 7 trustee is challenging the man’s homestead exemption because ... Read full article
There has been significant bankruptcy litigation over whether or not a debtor loses his Florida homestead exemption if he uses his home to conduct business. Courts are divided; the law differs depending upon the district where the debtor files ... Read full article
A married man used exempt money from his retirement funds to pay off a $400,000 mortgage on his homestead . Within three years thereafter, the same man filed Chapter 7 bankruptcy. The Chapter 7 trustee is challenging the man’s homestead exemption because ... Read full article
Bankruptcy courts are split on the issue of whether a tax refund payable to a husband and wife filing a joint return is exempt tenants by entireties property in a Chapter 7 bankruptcy . ... Read full article
The general rule is that a debtor may exempt proceeds from an exempt asset held in the debtor’s bank account so long as he can trace the funds to the exempt asset. Most bankruptcy courts interpret Florida’s asset exemptions to apply to the exempt assets ... Read full article
Many people have suggested buying a car through a small business corporation they own in order to protect the car from personal creditors. One debtor found that this planning back-fired when he filed Chapter 7 bankruptcy because it disqualified him from ... Read full article
There are several bankruptcy court decisions which considered the debtor’s homestead exemption when the debtor used part of the homestead property to produce income. The general rule is that commercial uses on a homestead property situated within a ... Read full article
Federal courts have permitted the IRS to levy upon a Florida taxpayer’s entireties account to collect taxes owed by one spouse filing an individual tax return. The entireties exemption does not protect the married taxpayer from the IRS. Does it follow ... Read full article
Florida common law is that entireties property is exempt from all creditors of either spouse, but it is not exempt from joint creditors. Tenants by entireties property in bankruptcy proceedings has been the subjection of judicial debate over the years ... Read full article
