Chapter 13 Bankruptcy

Recoverylawgroup06 Apr, 2026Legal

The EIC is an asset in case of Chapter 13 bankruptcy and though you might be able to protect funds when you file, you won’t be able to do the same for funds received subsequently. This is because Chapter 13 bankruptcy lasts for 3-5 years. All disposable income is used to repay creditors through the repayment plan. Exemption for EIC is applicable only to that which is received prior to case filing. Any EIC that you get after the case is filed is treated as disposable income. This includes any tax refunds.