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Hear this out loud PauseUse Schedule J (Form 1040) to elect to figure your 2022 income tax by averaging, over the previous 3 years (base years), all or part of your 2022 taxable income from your trade or business of farming or fishing.
Income averaging for farmers and fishermen provides a way to balance an income tax burden over several years, reducing the effects of both lean and bounty years. Schedule J is the Internal Revenue Service form used when you want to average your fishing or farming income.
Hear this out loud PauseSchedule J helps the bankruptcy trustee determine your disposable income, which is the amount of money you have left over each month after paying your necessary expenses. As we discussed in conjunction with our analysis of Schedule I, the budget schedules are critical in a chapter 13 case.
This is an Official Bankruptcy Form. Official Bankruptcy Forms are approved by the Judicial Conference and must be used under Bankruptcy Rule 9009.