Does a presumption of abuse mean my case will be dismissed?

No. It is a presumption, not a ruling. Under 11 U.S.C. § 707(b)(1) a court may dismiss or convert a case only after notice and a hearing, and § 707(b)(2)(B) lets a debtor rebut the presumption by demonstrating special circumstances. In some cases the U.S. Trustee files a statement that no motion to dismiss or convert is appropriate.

Am I accused of doing something wrong?

No. "Abuse" in 11 U.S.C. § 707(b) is a statutory label for a result, not a finding about your conduct. The statute directs the court to presume abuse when a calculation reaches specified thresholds. Districts describe the means test as a set of interlocking provisions enacted in 2005 to determine when Chapter 7 relief should be presumed abusive.

Are the dollar thresholds in the statute the numbers that apply to my case?

Not necessarily. The figures in 11 U.S.C. § 707(b)(2)(A)(i) are adjusted over time, and the expense amounts the calculation uses come from published IRS National and Local Standards for the area where you live, as § 707(b)(2)(A)(ii) provides. We do not publish a verified current figure for every district on this page — see your state page.

Glossary

Presumption of Abuse in Chapter 7 Bankruptcy

A presumption of abuse is a statutory presumption, arising from the means-test calculation under 11 U.S.C. § 707(b)(2), that granting Chapter 7 relief to an individual debtor with primarily consumer debts would be an abuse of that chapter. It is not a finding of wrongdoing and not a decision. It is rebuttable by demonstrating special circumstances.

Key points

The presumption arises from a calculation on the debtor's means-test statement, not from a judge's ruling.
It applies to individual debtors whose debts are primarily consumer debts (11 U.S.C. § 707(b)(1)).
A debtor may rebut it by demonstrating special circumstances under 11 U.S.C. § 707(b)(2)(B).
The clerk must notify creditors that a presumption has arisen (Fed. R. Bankr. P. 5008).
The U.S. Trustee, or the Bankruptcy Administrator in Alabama and North Carolina, reviews the debtor's materials and files a statement about the presumption.

If you have seen this phrase on a court notice or a form, it is not an accusation that you did anything wrong. It is a label the Bankruptcy Code attaches to the result of an arithmetic test. It matters, and it can be answered.

What does "presumption of abuse" actually mean?

The word "abuse" here is statutory shorthand, not a judgment about your character. Under 11 U.S.C. § 707(b)(1), a court may dismiss a Chapter 7 case filed by an individual debtor whose debts are primarily consumer debts, or convert it with the debtor's consent to Chapter 11 or 13, if it finds that granting relief would be an abuse of Chapter 7. Section 707(b)(2)(A)(i) then tells the court it "shall presume abuse exists" when the debtor's current monthly income, reduced by the expense amounts the statute specifies and multiplied by 60, reaches the thresholds set out in that clause. So the presumption is triggered by a calculation, not by a finding. A presumption in law is a starting point that shifts who has to explain — it is not a conclusion, and it can be answered.

It applies only to individuals, and only where debts are primarily consumer debts.
It arises from the § 707(b)(2) calculation, not from any judge's ruling.
The statute directs that charitable contributions are not counted against a debtor in a § 707(b) dismissal determination.

Why does it matter in a bankruptcy case?

It matters because it changes who has to justify what. Once a presumption of abuse has arisen, the debtor is the one explaining why Chapter 7 relief is nonetheless appropriate, and the case is exposed to a motion to dismiss or to convert under 11 U.S.C. § 707(b)(1) — brought by the U.S. Trustee, the trustee (or bankruptcy administrator, if any), any party in interest, or the court on its own motion. Under 11 U.S.C. § 704(b)(1)(A) the U.S. Trustee, or the Bankruptcy Administrator in Alabama and North Carolina, reviews the materials the individual Chapter 7 debtor filed and files a statement with the court about whether a presumption arises. Creditors are told: Fed. R. Bankr. P. 5008 requires the clerk to notify them, and 11 U.S.C. § 342 addresses that notice. A presumption is a live issue in the case, not a verdict on it.

It exposes the case to a motion to dismiss, or to convert with the debtor's consent (§ 707(b)(1)).
Creditors receive notice that the presumption has arisen (Fed. R. Bankr. P. 5008).
Nothing about the presumption by itself ends the case or decides the outcome.

How does it work in practice?

The sequence is a paperwork sequence, and the district's procedure manuals describe it plainly. The individual Chapter 7 debtor files a statement of current monthly income and means-test calculation; that statement is where a presumption is declared. The Middle District of Florida's procedure manual notes that the notice of commencement of case includes a statement about whether the presumption arises. Fed. R. Bankr. P. 5008 requires the clerk to notify creditors within 10 days after the petition is filed when a presumption has arisen, and to notify them if a later-filed statement shows one has arisen. The U.S. Trustee, or the Bankruptcy Administrator in Alabama and North Carolina, then files its own statement within ten days after the first meeting of creditors, and where it has filed a statement of presumed abuse, moves to dismiss or convert, or explains why no such motion is appropriate.

Docket events courts use around a presumption of abuse
Filing	Who files it
Statement of income and means-test calculation	The debtor
Statement of Exemption from Presumption of Abuse (Form 122A-1Supp)	The debtor
Notice that a presumption has arisen	The clerk
Statement of Presumed Abuse, or of No Presumed Abuse	U.S. Trustee, or Bankruptcy Administrator in AL and NC
Rebuttal of Presumption of Abuse / special circumstances	The debtor

What do people get wrong about it?

The most common error is reading it as a decision. It is a presumption, and 11 U.S.C. § 707(b)(2)(B) allows a debtor to rebut it by demonstrating special circumstances — courts docket exactly that filing, described in several districts as a rebuttal or special-circumstances statement, with a serious medical condition or a call to active service in the Armed Forces given as examples. The second error is treating the presumption as the whole means test. Current monthly income is defined at 11 U.S.C. § 101(10A), the median-income comparison sits at § 707(b)(7), and § 707(b)(2) is only the presumption calculation; none of them by itself decides whether a Chapter 7 case proceeds. A third: some debtors are addressed separately. Official Form 122A-1Supp is a statement of exemption from the presumption, reached through questions about whether debts are primarily consumer debts and about qualifying military service.

A presumption is rebuttable — § 707(b)(2)(B) provides for special circumstances.
The U.S. Trustee can file an amended statement or a statement of no presumed abuse.
Whether a presumption arises turns on figures published by the IRS and the Judiciary that change over time; check your state page for current figures.

Frequently asked questions

Does a presumption of abuse mean my case will be dismissed?: No. It is a presumption, not a ruling. Under 11 U.S.C. § 707(b)(1) a court may dismiss or convert a case only after notice and a hearing, and § 707(b)(2)(B) lets a debtor rebut the presumption by demonstrating special circumstances. In some cases the U.S. Trustee files a statement that no motion to dismiss or convert is appropriate.
Who decides whether a presumption of abuse has arisen?: It arises from the calculation on the debtor's own means-test statement, which is why courts docket a debtor's declaration of it. Under 11 U.S.C. § 704(b) the U.S. Trustee, or the Bankruptcy Administrator in Alabama and North Carolina, reviews the debtor's materials and files a statement with the court about the presumption after the first meeting of creditors.
Am I accused of doing something wrong?: No. "Abuse" in 11 U.S.C. § 707(b) is a statutory label for a result, not a finding about your conduct. The statute directs the court to presume abuse when a calculation reaches specified thresholds. Districts describe the means test as a set of interlocking provisions enacted in 2005 to determine when Chapter 7 relief should be presumed abusive.
Are the dollar thresholds in the statute the numbers that apply to my case?: Not necessarily. The figures in 11 U.S.C. § 707(b)(2)(A)(i) are adjusted over time, and the expense amounts the calculation uses come from published IRS National and Local Standards for the area where you live, as § 707(b)(2)(A)(ii) provides. We do not publish a verified current figure for every district on this page — see your state page.

Sources

11 U.S.C. § 707 — Dismissal of a case or conversion to a case under chapter 11 or 13 · official source
11 U.S.C. § 704 — Duties of trustee · official source
11 U.S.C. § 101 — Definitions · official source
11 U.S.C. § 342 — Notice · official source
Fed. R. Bankr. P. 5008 — Chapter 7 — Notice That a Presumption of Abuse Has Arisen Under § 707(b)
Bankr. M.D. Fla. Procedure Manual — Presumption of Abuse - Chapter 7
Bankr. S.D. Ind. official page — U. S. Trustee's Statement of Presumed Abuse
CANB official page — Debtor's Rebuttal of Presumption of Abuse | United States Bankruptcy Court
Bankr. M.D. La. filing packet — Ch7_Vol_Petition_ Package-2026.pdf
W.D. Mo. LBR 5008-1

By Antonio G. Jimenez, Esq. · Florida Bar No. 21022

Sources verified July 28, 2026 · How we verify

Every figure on this page is drawn from a primary legal source and checked against our canonical legal database before publication. Bankruptcy.law is not a law firm and does not provide legal advice.