Copley v. United States (In re Copley)

MEMORANDUM OPINION

Keith L. Phillips, United States Bankruptcy Judge

This matter is before the Court on cross-motions for summary judgment on the question of whether a Chapter 7 debt- or may exempt and recover an overpayment of federal income taxes for the year prior to the filing of the bankruptcy, despite the authority of the federal government, under the Treasury Offset Program, 26 U.S.C. § 6402, to set off the refund against the debtor’s dischargeable prepetition income tax liability. While recognizing that courts have split over the issue, this Court will adopt the reasoning set forth in…