If you have outstanding Judgments against you and you are considering a bankruptcy filing, make sure you file your bankruptcy before you file your State Income Taxes.
Unlike other garnishments, State Income Tax Garnishments take effect on the day the State of Michigan receives the garnishment notice, not on the day you receive your tax return. While it is possible to recover garnishments within 90 days of your bankruptcy filings. State Tax garnishments are usually sent months before you file for your income tax return with the State. As a result if a creditor takes your refund chances are you will not get it back.
