Understanding the Statement of Financial Affairs in Bankruptcy

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Gregory W. Mitchell

Gregory W. Mitchell



Gregory Mitchell joins Freeman Law to lead its bankruptcy practice. Mr. Mitchell is a native of the Dallas area, graduating from Southern Methodist University with a Bachelor’s Degree in Economics in 1991 and with his J.D. in 1994. In 1995, he obtained an LL.M. in Taxation from New York University. Mr. Mitchell currently directs the SMU Dedman School of Law’s federal taxpayer clinic. Mr. Mitchell’s background in tax makes him a natural fit for Freeman Law.

Prior to joining Freeman Law, Mr. Mitchell was the managing partner of The Mitchell Law Firm, L.P., a small firm he started in 2004, where he ran a diverse practice primarily focused on bankruptcy, tax and related litigation matters.

Prior to starting his own firm, Mr. Mitchell served as a Partner and General Counsel with Tax Automation, L.P., a national tax consulting firm. Mr. Mitchell was previously the National Director of Tax Technology at Ryan & Company, a national tax consulting practice, as well as a Senior Manager with KPMG, a “Big Four” accounting firm.


In prior recent blogs, we looked at the “letter” schedules A-J.  Now we turn to a few other important schedules that must be filed. When filing for bankruptcy, one of the essential forms you’ll need to complete is the Statement of Financial Affairs. This form provides a comprehensive overview of your financial history and helps the bankruptcy court and creditors understand your financial situation. In this blog post, we’ll explore the purpose of the Statement of Financial Affairs and provide a step-by-step guide to help you navigate this crucial document.

The Purpose of the Statement of Financial Affairs

The Statement of Financial Affairs is designed to disclose relevant financial information to the bankruptcy court, the trustee, and your creditors. It helps establish an accurate picture of your financial affairs, including your income, expenses, assets, liabilities, and recent financial transactions. The form assists in assessing your eligibility for bankruptcy relief and aids in determining the best course of action for your case.

Required Information

The Statement of Financial Affairs requires detailed information about your financial history, typically covering the past two years. Some key areas that you will need to address include:

Accurate and Complete Disclosure

It’s crucial to ensure accurate and complete disclosure on the Statement of Financial Affairs. Provide all relevant details and avoid omitting any financial information or transactions, as failure to do so may result in serious consequences, including potential dismissal of your bankruptcy case or allegations of fraud.

Seeking Professional Assistance

While completing the Statement of Financial Affairs, it’s recommended to seek guidance from a bankruptcy attorney. They have the expertise to help you navigate the complexities of the form, ensure accurate completion, and address any concerns or questions you may have.

Review and Filing

Once you have completed the Statement of Financial Affairs, review the form carefully to ensure accuracy and completeness. Make sure all required information has been provided, and double-check for any errors or omissions. After a thorough review, file the form with the bankruptcy court, adhering to the designated procedures and deadlines.


The Statement of Financial Affairs is a critical component of the bankruptcy filing process. It requires a comprehensive disclosure of your financial history, allowing the bankruptcy court, trustee, and creditors to assess your financial situation accurately. By providing accurate and complete information, seeking professional guidance when needed, and reviewing the form diligently, you can ensure that your bankruptcy case proceeds smoothly, helping you find the financial relief you need.

Remember, this blog post is for informational purposes only and should not be considered legal advice. It’s always recommended to consult with a qualified bankruptcy attorney for guidance tailored to your specific situation.

Bankruptcy Attorneys

Need assistance in managing the bankruptcy process? Freeman Law attorneys offer unique cross-disciplinary expertise in taxation, litigation, and forensic accounting and asset tracing, positioning the Firm to handle complex bankruptcy litigation on behalf of debtors, creditors, and trustees, as well as bankruptcy taxation matters. Our Firm offers value-driven services and provides practical solutions to navigate complex bankruptcy laws. Contact Freeman Law to schedule a consultation or call (214) 984-3000 to discuss your tax or bankruptcy concerns.