List and explain why you believe it is not property of the estate so that the
trusteehas an opportunity to make his/herown/independent determination as to
how the statute applies to the facts.
Peter M. Lively, JD, MBA
The Personal Financial Law Center* Culver City & Costa Mesa * 800-307-DEBT
________________________________
To:
cdcbaa@yahoogroups.com
Sent: Sun, May 1, 2011 3:45:56 PM
Subject: Re: [cdcbaa] Re: IRC Sect. 529 Educational Savings Plans
Friends:
I read:
11 USC 541 (b) Property of the estate does notinclude--
cation individual retirement account (as
defined insection 530(b)(1)of the Internal Revenue Code of 1986) not later
than 365 days before the date of the filing of the petition in a case under this
title,but--
I have a client with 3 kids who have less than $5,000 each Account. Account
opened 5 years ago in 2006. Debtor put the money in the accounts 2007. So Am I
correct that
1. WE DON'T HAVE TO LIST ON THE BANKRUPTCY AT ALL?
2. BEST PRACTICE IS TO LIST AND "NOTE" that its not property of the
estate.......?
Which say all of you?
Thanks for the revisit:
2011/3/24 Cameron Totten
>This is an oldie but a goodie so I thought that I would revisit it. I read the
>code section which seems to include grandchildren as well. So, why the
>distinction between grandparents and parents with regard to listing on the>schedules? Thanks.
>
>Cameron H. Totten, Esq.>
>
>
>Subject: RE: [cdcbaa] Re: IRC Sect. 529 Educational Savings Plans
>
>
>That is very good advice - when in doubt, disclose and explain. Clients often
>have 529 accounts in which contributions are partially outside the 2-year period
>and partially within the 2 years. It's always best to list the entire account
>and detail the time periods of the contributions. I had one client who had been
>contributing so heavily to his daughter's 529 account that we waited a year to
>file his case to let the two-year date pass. Sometimes these accounts have been
>owned by the grandparents of my clients' children, and those I do not list at
>all in the Schedules.
>
>Jim
>
>James R. Selth
>Weintraub & Selth, APC
>
>Interesting how even the amounts from deposits over 2 years old or under $5,475
>if between 1 and2 years old still have to be disclosed under section 521(c)
>even though they are not assets of the estate. None of the other assets
>excluded from the definition of estateassets under section 541(b)>disclosurerequirement. Obviously, even if there wasno>requirement,likeERISA qualifiedretirement plans, it is always best
>tolistfor disclosure purposes andnote they are not assets of theestate.
>
>Mark T. Jessee
>Law Offices of Mark T. Jessee
>--
R. Grace Rodriguez, Esq.
OFF: (818) 734-7223
CEL: (818) 554-9922
(A) only if the designated beneficiary of such account was a child, stepchild,
grandchild, or stepgrandchild of the debtor for the taxable year for which funds
were placed in such account;
>(B) only to the extent that suchfunds--
>(i) are not pledged or promised to any entity in connection with any extension
>of credit; and
>>(ii) are not excess contributions (as described insection 4973(e)>>Internal Revenue Code of 1986); and
(C) in the case of funds placed in all such accounts having the same designated
beneficiary not earlier than 720 days nor later than 365 days before such date,
only so much of such funds as does not exceed $5,000[$5,475 effective 4-1-07.
Adjusted every 3 years bysection 104.];
List and explain why you believe it is not property of the estate so that the trustee has an opportunity to make his/her own/independent determination as to how the statute applies to the facts.
Peter M. Lively, JD, MBA
The Personal Financial Law Center * Culver City & Costa Mesa * 800-307-DEBT
From: R Grace Rodriguez <
rgracelaw@gmail.com>To:
cdcbaa@yahoogroups.comSent: Sun, May 1, 2011 3:45:56 PMSubject: Re: [cdcbaa] Re: IRC Sect. 529 Educational Savings Plans
Friends:I read:11 USC 541 (b) Property of the estate does not include-- (5) funds placed in an education individual retirement account (as defined in section 530(b)(1) of the Internal Revenue Code of
1986) not later than 365 days before the date of the filing of the petition in a case under this title, but--
The post was migrated from Yahoo.