Case: State EIC exemption within the occasion of chapter restricted to federal quantity (Financial institution. D. Kan.) (IRC §32)

May 12, 2021, 5:00 a.m.

Under Kansas law, a debtor cannot claim any portion of their state tax income tax as an Exempt Earned Income Credit (EIC) because they have claimed the full amount of the EIC to which they are entitled under federal tax law as exempt. A. Bankruptcy Court held. In Debtor’s Chapter 13 bankruptcy, she filed for both a state and a state EIC as tax-exempt property. The debtor’s federal EIC was the maximum allowed under the Internal Revenue Code. As an exception, the state law allows a state EIC up to the maximum amount of the federal government. Debtors argued that since their state was EIC …

© 2021 The National Affairs Bureau, Inc.

All rights reserved