
Using Tax Refunds to Pay for Bankruptcy Fees
While saving up to declare bankruptcy sounds odd, that’s exactly what many people have had to do. Ever since the 2005 Bankruptcy Abuse Prevention and Consumer Protection Act was passed. Many families wait for their tax refund to file for bankruptcy. This trend has been increasing as costs related to the filing have gone up. Researchers have looked at the relationship between tax refunds and bankruptcy filings in 2001 and