Zingale v. Rabin (In Re Zingale)
693 F.3d 704
6th Cir.2012Background
- Debtors Anthony M. and Barbara A. Zingale filed Chapter 7 petition; Rabin appointed as Trustee.
- On Schedule B, debtors listed a joint interest in Anticipated 2009 Income Tax Refund with value unknown.
- 2009 tax return showed AGI $59,402, total tax liability $2,934, credits $2,934, refund $8,542; CTC listed as $2,903.
- Debtors amended Schedule B to show refund $8,542, allocating $4,000 to CTC and $4,542 as non-CTC refund.
- Schedule C was amended to exempt $4,000 of the refund attributed to the CTC under Ohio law § 2329.66(A)(9)(g).
- Trustee objected to exempting the $4,000 CTC portion, arguing only $1,907 (the refundable portion) is exempt; court reduced exemption to $1,907.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether non-refundable CTC is exempt under § 2329.66(A)(9)(g). | Zingale argues non-refundable CTC is a payment exempt under § 2329.66(A)(9)(g). | Rabin argues only the refundable portion (payment) is exempt; non-refundable CTC is not a payment. | Non-refundable CTC is not exempt; not a payment under § 2329.66(A)(9)(g). |
Key Cases Cited
- Chase Manhattan Mortg. Corp. v. Shapiro (In re Lee), 530 F.3d 458 (6th Cir. 2008) (clear-error standard for factual findings; de novo for questions of law)