Legal Question in Bankruptcy in Wisconsin

The safest path for any money coming into a household is to claim it as income on your schedule I and form B-22. Some types of disability, support and other items are later deducted from income for purposes of the form B-22 means test, which determines whether one can file chapter 7. Those who "fail" the form B-22 "means test" due to having income which is above the state median, are sometimes forced into chapter 13 under the bankruptcy reform laws of 2005. One thing which you certainly can do with any form of business income, however, is to deduct business expenses from it before showing on your bankruptcy schedules. To the extent that you need to use a portion of the money for reasonable and necessary expenses required for the production of the income, it is usually not income for purposes of your bankruptcy mathematics. This essentially requires you to create a business financial statement determining net profit (if any), which should be done with the help of an experienced bankruptcy attorney (and, perhaps, a CPA).My comments in this online forum are offered for public educational purposes only and are not legal advice. They do they create any attorney/client relationship between us. However, I may be able to represent you if you contact my Racine office and make arrangements see me.