Resources for Chapter 13 Petitioners

 

 

Notice

This information is not meant to convey legal advice to an individual seeking Chapter 13 bankruptcy reorganization, but is meant strictly as an educational tool.

 

 

 

 

Are You Self Employed?

If you are self employed, you will be required to submit additional financial information so that the Trustee may evaluate your Chapter 13 plan. You will be considered self employed if you do business as:

  • "S" Corporation, where the petitioner is a shareholder/employee
  • "C" Corporation, where the petition is a shareholder / employee
  • Rental property owner/ Landlord
  • Partnership
  • Operate business as a sole proprietor

Additional information required of self employed petitioners include:

  • Tax returns for the last three years which reflect the business, (1040 schedule C, or complete 1120 S or 1120 Corporate returns)
  • Balance Sheet of all assets and liabilities as of the date of filing the Chapter 13 petition
  • Income statement projection on how the income listed on petition schedule I was calculated

Additional information may include bank statements, rental contracts, lease contracts, or all other relevant information deemed necessary in order for the Chapter 13 Trustee to complete a financial review of your business operations in order to determine if payments into the plan can be made as proposed

The Trustee is a fiduciary and must investigate business affairs of all Chapter 13 petitioners pursuant to 11 USC Section 1302(c), 11 USC Section 1106(a)(3), 11 USC Section 1106(a)(4)

A 341 self employed questionnaire is necessary to be completed and submitted to the Trustee prior to the 341 meeting. A copy of said questionnaire can be obtained by clicking here.

  
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