What are exemptions?
There are several types of exemptions concerning property with the Homestead Exemption being the most prevalent. To qualify you must: Make application by March 1, possess recorded title by January 1, and be a Florida resident living on the property with the intent of making it your permanent residence on January 1. A Homestead Exemption is NOT TRANSFERABLE. You must personally file a new application even if you received an exemption last year but established a new residence prior to January 1. Additionally, if you purchased your property after January 1, and your TRIM notice reflects a Homestead, this is an exemption which was granted to the prior owner. This exemption ceases on December 31 of that year. Thus, if you wish to qualify for a continuing homestead exemption, you must file an original application in our office by March 1. If you no longer qualify for an exemption, please notify our office of the change immediately. For further information concerning exemptions, you may conta
The IRS defines an exemption as the amount you can claim to help reduce your taxable income. Basically, there are two types of exemptions: personal and dependent. You claim yourself, your spouse if you file a joint return, your children, and other relatives you support. There’s no limit, but all dependents have to qualify according to IRS rules, and exemptions have been phased out for high-income people. Exemptions should not be confused with the standard deduction, an amount by which you can reduce your taxable income if you decide against itemizing. Lower standard deductions are allowed for dependents with only investment income. These tips are provided to give you general information about your taxes. If you have specific questions, please consult a tax advisor or call the toll-free number for Federal Tax Information and Assistance at 1-800-829-1040.
11 U.S.C. Section 522(b) allows an individual debtor to exempt real, personal, or intangible property from the property of the estate. Exempt assets are protected from distribution to your creditors by state law. Bankruptcy exemptions for the state of Kentucky and the dollar amounts of those exemptions are listed in Chapter 427 of the Kentucky Statute. Typically, exempt assets include jewelry, vehicles up to a certain dollar amount, the equity in your home up to a certain amount and tools of the trade. Exemptions are claimed on Schedule C. As with all schedules, it is important to complete fully and provide all the information requested. If no one objects to your exemptions in the time frame specified by the bankruptcy court, these assets will not be a part of your bankruptcy estate and will not be used to pay creditors through your bankruptcy case. Deciding which assets are exempt and how and if you can protect these assets from creditors can be one of the most important and difficult
