RSS Feed for This PostCurrent Article

Can I Tithe During Bankruptcy?

Tithing, the practice of giving a portion of your income to a church, usually 10%, was specifically recognized and protected by Congress in “The Religious Liberty and Charitable Donation Protection Act of 1998.”

Therefore, it came as quite a surprise when a Bankruptcy Judge felt the changes made to the bankruptcy code by the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 (BAPCPA), compelled him to find that debtors who make above their state’s median income cannot tithe, or even make other charitable donations until their creditors have been paid.

The case, In re Diagostino, No. 06-10384 (Bankr. N.D.N.Y. 8/28/2006) created quite a stir in the press and resulted in expressions of outrage and disbelief by Republicans and Democrats alike.

So that there was no doubt about the ability to tithe, the Senate and House of Representatives enacted the “Religious Liberty and Charitable Donation Clarification Act of 2006 (S. 4044).

What S. 4044 does is to make clear that money given by a debtor to a charitable organization, including tithing to a church, is not to be included when considering the funds available to be paid to a creditor in bankruptcy.

So, can you tithe during bankruptcy?  The answer is Yes.

If you liked that post, then try these...

Should I use a bankruptcy petition preparer? by Eugene S. Melchionne, Connecticut Bankruptcy Attorney

Bankruptcy Basics: What Is An Adversary Proceeding? by Karen Oakes, Southern Oregon Bankruptcy Attorney

Countrywide's Failure to Notify Debtor of Mortgage Escrow Account Deficiency Caused Deficiency to be Waived by Stephen Otto, Pennsylvania Bankruptcy Attorney

Does Debtor's Prison Still Exist in the United States, and What is an Order of Capias? by Stephen Otto, Pennsylvania Bankruptcy Attorney

Government Sues Debt Program by L. Jed Berliner, Springfield Bankruptcy Attorney

Popularity: 3% [?]

Trackback URL

RSS Feed for This PostPost a Comment

You must be logged in to post a comment.