Filing Means Test Exemptions Courts Forms
- Bankruptcy Lawyers Serving Bakersfield, CA - (Lawyers)
- Bankruptcy & the Coronavirus Recession - (COVID-19)
- Bankruptcy News - (News)
Ads by Google
Form B 122A-2, Line 13, Local Standards: transportation ownership/lease expenses.

Form B 122A-2, Line 13, Local Standards: transportation ownership/lease expenses.

Ads by Google
Ads by Google
 

Updated: 2021-04-30 by

Lines 23 & 24, Local Standards: transportation ownership/lease expenses.

New Form B 122A-2, Line 13

  • Outside the Fifth, Seventh, and Eighth circuits, debtor cannot claim the vehicle ownership expense if the debtor does not have a secured loan or a lease on the vehicle.
  • In the Fifth, Seventh, and Eighth circuits debtor may claim this expense if the debtor owns a vehicle regardless of whether the debtor has a loan or lease payment. However, if the debtor owns a vehicle free and clear the USTP position is that the lack of any actual ownership expense may be considered in determining whether the case constitutes an abuse under the totality of the debtor's financial circumstances pursuant to section 707(b)(3)(B).
  • If the vehicle is being surrendered without replacement, the debtor may not claim the expense. But see discussion regarding line 42.
  • If the vehicle is borrowed, the debtor may not claim the expense.
  • Debtor may not "double dip," that is take the full amount of the vehicle ownership expense on line 23(a) and then fail to deduct the monthly lien payment on line 23(b). The overall effect is to allow the debtor to take the higher of the actual loan or lease payment and vehicle ownership expense.
  • A debtor whose household contains a single driver is generally entitled to an ownership expense for only one vehicle.

 

 

 
Ads by Google
Ads by Google