exemptions
Exemptions:
Upon filing a Petition in the United States Bankruptcy Court, a Bankruptcy Estate is created. The Bankruptcy Estate consists of all Real Property (Real Estate, wherever located) and Personal Property (all tangible and intangible Non-Real Estate Property wherever located), and all such property is considered to be “Property of the Estate”. The property of the estate will be used to settle the claims against the Debtor. However, a Debtor is allowed to “exempt” certain property from becoming property of the Estate. The Bankruptcy Court for the District of New Hampshire allows a Debtor to choose whether to apply the Federal Exemption Statutes to his/her/or their property or to apply the New Hampshire Exemption Statutes to his/her/or their property. The determination to apply either the Federal Statutes or the State’s Statutes depends on the types and values of a Debtor’s Property; however, in a Joint Bankruptcy Case both Debtors must apply the same statutes (Federal or State) to their property.
Under the New Hampshire State Statutes the following common types of property may be exempt:
In addition to the exemption amounts listed above, under the New Hampshire State Statutes the following types of property are fully exempt regardless of the value of such property:
Under the Federal Exemption Statutes the following common types of property may be exempt:
The choice of whether to use the Federal or the State Exemptions should be carefully considered by the Debtor in conjunction with an Attorney in order to provide maximum protection of the Debtor's assets from seizure by the Trustee.
Upon filing a Petition in the United States Bankruptcy Court, a Bankruptcy Estate is created. The Bankruptcy Estate consists of all Real Property (Real Estate, wherever located) and Personal Property (all tangible and intangible Non-Real Estate Property wherever located), and all such property is considered to be “Property of the Estate”. The property of the estate will be used to settle the claims against the Debtor. However, a Debtor is allowed to “exempt” certain property from becoming property of the Estate. The Bankruptcy Court for the District of New Hampshire allows a Debtor to choose whether to apply the Federal Exemption Statutes to his/her/or their property or to apply the New Hampshire Exemption Statutes to his/her/or their property. The determination to apply either the Federal Statutes or the State’s Statutes depends on the types and values of a Debtor’s Property; however, in a Joint Bankruptcy Case both Debtors must apply the same statutes (Federal or State) to their property.
Under the New Hampshire State Statutes the following common types of property may be exempt:
- Equity in a Personal Residence up to $100,000.00 per Debtor; and
- Value of Household Goods and Furnishings (furniture, home appliances & other basic household items) up to $3,500.00 per Debtor; and
- Value of Furs, Watches and Jewelry up to $500.00 per Debtor; and
- Equity in One (1) vehicle (per Debtor) up to $4,000.00 per Debtor; and
- Value of “Tools of the Trade” up to $5,000.00 per Debtor; and
- Value of Bibles, School Books or other library items up to $800.00 per Debtor; and
- Value of Provisions and Fuel up to $400.00 per Debtor; and
- Value of all other property (ex. Bank Accounts, Cash, Additional vehicles etc.) up to $8,000.00, consisting of $1,000.00 plus up to $7,000.00 of the remaining amounts available under the above mentioned exemptions except for any remaining exemption amount for a personal residence.
In addition to the exemption amounts listed above, under the New Hampshire State Statutes the following types of property are fully exempt regardless of the value of such property:
- Clothing; and
- Retirement Accounts (Pensions, IRA’s, 401(k)’s etc.).
Under the Federal Exemption Statutes the following common types of property may be exempt:
- Equity in a Personal Residence up to $21,625.00 per Debtor; and
- Equity in one (1) vehicle (per Debtor) up to $3,450.00 per Debtor; and
- Value of Household Goods and Furnishings (furniture, home appliance & other basic household items) and Clothing up to $11,525.00 per Debtor; and
- Value of Furs, Watches and Jewelry up to $1,450.00 per Debtor; and
- Value of “Tools of the Trade” up to $2,175.00 per Debtor; and
- Value of all other property (ex. Bank Accounts, Cash, Additional vehicles, etc.) up to $11,975.00, per Debtor, consisting of $1,150.00 plus up to $10,825 of the remaining amount available under the Personal Residence Exemption.
The choice of whether to use the Federal or the State Exemptions should be carefully considered by the Debtor in conjunction with an Attorney in order to provide maximum protection of the Debtor's assets from seizure by the Trustee.