11 U.S.C. § 523

Section 523(a)(1)(A) excepts income tax debt from discharge when the tax was due within three years before the bankruptcy petition.

William v. United States, Department of the Treasury, Internal Revenue Service (In Re Williams) · filed 1992-10-29(a)(1)(A)

Williams’ 1988 federal incoifte tax obligation was due within three years of the filing of her bankruptcy petition and is nondischargeable.

Section 523(a)(1)(A) does not except a retailer’s debt to a wholesaler for motor fuel taxes that the wholesaler alone owed to the taxing authorities.

Garrow Oil Corp. v. Bork (In re Bork) · filed 1992-11-24(a)(1)(A)

The exception to discharge under § 523(a)(1)(A) applies only to the debtor’s liabilities to the taxing authorities; it does not apply to someone else’s liabilities to the taxing authorities, nor to the debtor’s liabilities to other creditors for taxes owed by the creditors.

Section 523(a)(1)(A) excepts taxes from discharge when they remain assessable after the bankruptcy filing, even if the automatic stay temporarily prevents assessment.

Blake v. United States (In re Blake) · filed 1992-12-03(a)(1)(A)

Even though the automatic stay currently prohibits the making of an assessment, ... the taxes are still “assessable” because the limitation period for assessments has not run.

Section 523(a)(7) makes qualifying punitive tax penalties nondischargeable even when they lack priority status.

Paulson v. United States (In Re Paulson) · filed 1992-12-15(a)(7)

This court holds that section 523(a)(7) clearly addresses the relevant issue of the nondischargeability of punitive tax penalties, regardless of their nonpriority status under section 507(a)(7)(G).

Section 523(a)(7) makes a tax penalty nondischargeable when it relates to a nondischargeable tax.

Bieber v. United States ex rel. Internal Revenue Service (In re Bieber) · filed 1992-12-15(a)(7)

Under § 523(a)(7) a tax penalty is nondis-chargeable if the tax to which it relates is nondischargeable.

Section 523(a)(1)(B)(i) excepts a tax debt from discharge when the debtor fails to file a required return.

Byerly v. Internal Revenue Service (In Re Byerly) · filed 1992-12-17(a)(1)(B)(i)

Thus, the IRS has established, without rebuttal, that the debtor failed to file the appropriate tax returns. As a result, the Court finds that the tax liability is excepted from discharge.

Section 523(a)(1)(C) excepts taxes, including associated penalties and interest, from discharge when a debtor willfully attempts to evade or defeat their payment.

Lewis v. United States Internal Revenue Service (In Re Lewis) · filed 1992-12-28(a)(1)(C)

The government has established by a preponderance of the evidence that Mr. Lewis willfully attempted and did in fact evade and defeat the payment of taxes, including statutory penalties and interest, for the tax years 1977, 1978, 1979, 1980, 1982, 1983 and 1984. The unpaid assessments for those tax years, plus continuing statutory penalties and interest, are excepted from the debtor’s discharge pursuant to 11 U.S.C. § 523(a)(1)(C).

Section 523(a)(1)(C) excepts a tax debt from discharge when the debtor voluntarily, consciously and intentionally attempts to evade the tax; an affirmative act is not required.

United States v. Toti · filed 1993-01-07(a)(1)(C)

The Court, after careful consideration of the parties’ briefs, the record and the relevant case law, finds that the proper definition of “willfully attempted to evade” in the context of an 11 U.S.C. 523(a)(1)(C) discharge case is that found in other civil tax cases — voluntary, conscious and intentional. There is no requirement of an affirmative act or commission as suggested by Toti.

Section 523(a)(1)(C) allows evidence of attempts to avoid paying taxes when deciding whether a tax debt is dischargeable; a false withholding statement may be considered but is not automatically sufficient.

Commissioner v. Peterson (In Re Peterson) · filed 1993-01-04(a)(1)(C)

It is the opinion of this Court that the bankruptcy court erred in holding that evidence of the debtors’ attempts to avoid payment of their income taxes is irrelevant for Section 523 dischargeability purposes. While this Court is not prepared to rule as a matter of law that the filing of a false W-4 withholding statement claiming 40 exemptions is sufficient in and of itself to constitute a willful attempt to evade or defeat payment of taxes, it is appropriate evidence that may, and should, be considered by the bankruptcy court.

Section 523(a)(7) determines whether a properly imposed penalty is discharged; it does not determine whether the penalty may be imposed.

In Re Quick · filed 1993-01-21(a)(7)

Such a reading does not conflict with 11 U.S.C. § 523(a)(7). Section 523(a)(7) of the Bankruptcy Code determines the discharge-ability of penalties which are properly imposed. Section 6658 of the Internal Revenue Code, like sections 6651, 6654, and 6655 thereof, sets out when it is proper to impose them.

Section 523(a)(7) makes a noncompensatory tax penalty nondischargeable when it relates to nondischargeable taxes.

In Re Hallock · filed 1993-02-05(a)(7)

Rather, the penalty appears to have been assessed to deter certain behavior; that is, not paying one’s federal income taxes in a timely manner. Since the penalty is associated with federal income taxes which are nondischargeable under Section 523(a)(1), the penalty is also nondischargeable under Section 523(a)(7).

A debtor’s testimony that tax returns were filed is insufficient by itself to raise a presumption of filing under the tax discharge exception.

Harper v. Internal Revenue Service (In Re Harper) · filed 1993-01-20(a)(1)(B)(i)

The Court finds that this testimony is insufficient to raise the presumption that these returns have been filed. Accordingly, Plaintiffs have failed to carry their burden of proving the absence of a dispute of material fact, and their Motion for Summary Judgment will be denied.

Section 523(a)(1)(C) may bar discharge of unpaid taxes even when the debtor filed returns, if the failure to pay was willful.

United States v. Haas (In Re Haas) · filed 1993-01-27(a)(1)(C)

The Bankruptcy Court erred in ruling that Thomas Haas’s ... tax obligation for years where he filed returns, but did not pay federal income taxes, were dischargeable.

Section 523(a)(1)(A) excepts coal reclamation fees from discharge as excise taxes when their returns were due less than three years before bankruptcy.

United States v. Harold L. Ringley James E. Manicure · filed 1993-02-09(a)(1)(A)

Both partners had filed their bankruptcy petitions on September 1, 1981, a period less than three years after the reports were due as required by section 523(a)(1)(A). In light of the undisputed facts, we conclude that the partners’ liability for the unpaid reclamation fees of the partnership was not extinguished by their discharge in bankruptcy.

Section 523(a)(1)(B)(ii) excepts tax debts from discharge when the debtor files required returns late and within two years before filing for bankruptcy.

Olson v. United States (In Re Olson) · filed 1993-02-17(a)(1)(B)(ii)

However, under section 523(a)(1)(B)(ii), the 1982 through 1988 tax liabilities are nondischargeable since the Debtor filed his tax returns late and within two years of his March 21, 1991 petition.

Section 523(a)(7)(B) measures the three-year period for discharging tax penalties from the original petition date, even if the case is later converted.

In Re Harbaugh · filed 1993-03-24(a)(7)(B)

Accordingly, debtors’ contention the three-year reachback period is calculated from the date of conversion is incorrect. Section 523 renders nondischargeable all penalties incurred within three years of the date chapter 13 was filed; namely, March 9, 1987.

Section 523(a)(1)(C) makes tax debts nondischargeable when a debtor willfully attempts to evade payment, including through obstinate refusal to comply with known tax laws.

Lilley v. Internal Revenue Service (In Re Lilley) · filed 1993-04-01(a)(1)(C)

We believe that § 523(a)(1)(C) is properly directed towards obstinate behavior in refusing to pay taxes, such as that exhibited by the Debtor, no matter how principled that obstinateness may be.

Section 523(a)(1)(A) excepts taxes specified in § 507(a)(7) from discharge whether or not a claim was filed or allowed.

Anderson v. United States Internal Revenue Service (In Re Anderson) · filed 1993-05-07(a)(1)(A)

Irrespective of whether it has been filed or allowed, under 11 U.S.C. § 523(a)(1)(A) a tax of the kind specified under § 507(a)(7) is not dischargeable.

Section 523(a)(1)(C) uses a civil standard of willfulness to except tax debts from discharge when a debtor willfully attempts to evade or defeat the tax.

Langlois v. United States · filed 1993-04-21(a)(1)(C)

In sum, the Supreme Court’s decision in Cheek does not command, or even suggest, that the lower courts should apply the criminal definition of willfulness in a civil proceeding like this one. The Bankruptcy Judge applied the proper meaning of the word “willfully” in this case.

Section 523(a)(1) excepts a tax debt from discharge when a required return was not filed or the tax falls within the priority periods specified in Section 507.

Jones v. Georgia Department of Revenue (In Re Jones) · filed 1993-07-06(a)(1)

In accordance with the above reasoning, defendant’s motion for summary judgment is hereby GRANTED and the plaintiff’s 1987 income tax liability to the State of Georgia is not dischargeable under 11 U.S.C. § 523(a)(l)(B)(i) and § 523(a)(1)(A).

Section 523(a)(1)(C) requires the government to prove fraud by a preponderance of the evidence to except a tax debt from discharge.

Cox v. United States (In Re Cox) · filed 1993-06-17(a)(1)(C)

The standard of proof required in adversary proceedings brought under 11 U.S.C. § 523(a)(1)(C) is a preponderance of the evidence. ... However, on the issue of fraud, the burden of proof shifts to the Government. ... The Government has not met that burden. This record is devoid of any evidence of fraud on the part of the Debtor.

Section 523(a)(1)(C) excepts taxes from discharge when a debtor who knows of a duty to pay them intentionally chooses not to pay despite having the means; fraud or an intent to defraud is unnecessary.

United States v. Haas (In Re Haas) · filed 1993-07-06(a)(1)(C)

Since the test for an attempt to evade under § 523 is the same one as in § 6672 eases, the United States need not prove bad motive or a specific intent to defraud the government in order to succeed.

Section 523(a)(1)(A) makes a debtor’s liability for partnership withholding taxes nondischargeable when those taxes have priority under Section 507(a)(7).

NORTON v. UNITED STATES (In Re NORTON) · filed 1993-07-14(a)(1)(A)

Section 523 contains the list of those debts that are nondischargeable. Such debts include those taxes given priority under Section 507(a)(7) which provides: ... These tax obligations, as withholding taxes, are clearly nondischargeable.

Section 523(a)(1)(C) excepts a tax debt from discharge when the debtor knowingly and intentionally tries to evade or defeat the tax; it does not require an affirmative act or an intentional violation of a known legal duty.

United States v. Hedgecock (In Re Hedgecock) · filed 1993-08-27(a)(1)(C)

Further, in view of my determination that a civil law definition must be applied to the statute, a finding that debts are nondischargeable under § 523(a)(1)(C) does not depend on evidence that a debtor intentionally violated a known legal duty. To fall within the statute, it need only be shown that a debtor’s conduct amounts to an intentional and knowing effort to evade or defeat taxes.

Section 523(a)(1)(C) makes a tax debt nondischargeable when the debtor willfully attempts to evade or defeat the tax.

Laurin v. United States (In Re Laurin) · filed 1993-09-01(a)(1)(C)

The court must conclude that Mr. Laurin willfully attempted to avoid payment of his taxes for the years 1979 through 1986, within the meaning of 11 U.S.C. § 523(a)(1)(C).

Section 523(a)(1)(C) excepts tax debts arising from fraudulent returns or willful tax evasion from discharge without requiring a creditor complaint.

United States v. Ellsworth (In Re Ellsworth) · filed 1993-09-09(a)(1)(C)

Thus, a tax liability based on a fraudulent return or willful evasion of the tax, as in Appellees’ case, is nondischargeable. Since the debt in this case is nondis-chargeable, no further action is necessary by the creditor, and the creditor is not prohibited by the permanent injunction, created in Section 524(a)(2), from collecting debts owed it.

Section 523(a)(1)(B)(i) does not require every amended return a state demands, but the debtor must have filed a return disclosing all income.

Dyer v. Georgia Department of Revenue (In Re Dyer) · filed 1993-09-14(a)(1)(B)(i)

In sum, the Debtor has succeeded in convincing the Court that not every return that a State “requires” creates a new (or renewed) obligation for 11 U.S.C. § 523(a)(1)(B)© purposes. But the Debtor must show that he filed some return at some appropriate time, which disclosed all of his income, if the § 523(a)(1)(B)© defense to his Complaint is to be overcome.

Section 523(a)(1)(A) ordinarily excepts income taxes assessed within 240 days before bankruptcy from discharge, but an IRS agent’s affirmative misrepresentation can make that exception inequitable.

Hollenbeck v. United States Internal Revenue Service (In Re Hollenbeck) · filed 1993-09-30(a)(1)(A)

Income tax debts assessed within 240 days before the date of filing of a bankruptcy petition are ordinarily excepted from discharge. 11 U.S.C. §§ 523(a)(1)(A), 507(a)(7). ... On the facts of this case, it is unconscionable to except from discharge the debt claimed by IRS, due to the affirmative misrepresentation of its agent.

Section 523(a)(1)(B)(i) treats a tax return prepared by the IRS with the debtor’s cooperation and signed by the debtor as a filed return.

Gless v. USA/IRS (In Re Gless) · filed 1993-10-26(a)(1)(B)(i)

As a matter of law, this Court finds that a return filed pursuant to § 6020(a) of the Internal Revenue Code, which is prepared with the cooperation of the debtor and signed by the debtor, is deemed to be a return under § 523(a)(l)(B)(i) of the Bankruptcy Code.

Section 523(a)(1)(B)(i) does not discharge a tax debt when the debtor failed to file a required return, even if the IRS filed a substitute return on the debtor’s behalf.

Rank v. United States Internal Revenue Service (In Re Rank) · filed 1993-11-04(a)(1)(B)(i)

This Court joins other Bankruptcy Courts in finding that under the circumstances in this case, the 1981 Substitute for Return filed on Plaintiffs behalf does not fall within the context of a tax return.

Section 523(a)(1)(A) does not except a tax debt from discharge when the tax falls outside the assessment period specified in § 507(a)(7)(A)(ii).

Callahan v. United States, Internal Revenue Service (In Re Callahan) · filed 1993-12-16(a)(1)(A)

The Debtor filed one offer in compromise within 240 days after the tax was assessed, the one filed August 15, 1988, which was pending a total of 653 days. Therefore, (x) = 240 + 30 + 653 = 923. The taxes were assessed more than 923 days before the Debtor filed his petition in bankruptcy. Therefore, the taxes are not of the kind and for the period specified in § 507(a)(7)(A)(ii) and are not excepted from discharge by virtue of that provision.

Section 523(a)(1)(C) does not bar discharge of a tax debt when the government fails to prove a fraudulent return or a willful attempt to evade or defeat the tax.

Koehl v. United States (In Re Koehl) · filed 1993-12-08(a)(1)(C)

This Court need not resolve the conflict because the United States has failed to prove that the debtors willfully attempted to evade or defeat payment of the taxes.

Section 523(a)(1)(C) excepts a tax debt from discharge when the debtor willfully evades payment by transferring assets beyond the IRS’s reach.

Griffith v. United States (In Re Griffith) · filed 1993-12-09(a)(1)(C)

Looking at the surrounding circumstance, the Court finds Griffith willfully attempted to evade and defeat paying the taxes due. The transfers under Griffith’s antenuptial agreement were an attempt to willfully evade and defeat the payment of taxes.

Section 523(a)(7)(B) makes a penalty dischargeable when the transaction or event giving rise to it occurred more than three years before the bankruptcy petition.

In re Jansen · filed 1994-01-12(a)(7)(B)

Section 523(a)(7)(B) provides that penalties “imposed with respect to a transaction or event that occurred before three years before the date of the filing of the petition” are dischargeable. ... The penalty is therefore dischargea-ble.

Section 523(a)(1)(C) treats a debtor’s attempt to evade a tax as willful if the debtor acts voluntarily, consciously, intentionally, or with reckless disregard for whether the tax was paid.

Irvine v. Commissioner (In Re Irvine) · filed 1994-01-06(a)(1)(C)

Under § 523(a)(1)(C), therefore, a debtor will be considered to have willfully attempted to evade a tax if he acted voluntarily, consciously or intentionally or with reckless disregard for whether the tax has been paid. With respect to § 523(a)(1)(C), a debtor acts with reckless disregard if he knew or should have known that the tax was due and did not pay the tax.

Section 523(a)(1)(B)(i) treats documents signed and given to the IRS as filed tax returns when they contain enough information to calculate the tax and the debtor admits owing it.

Lowrie v. United States (In Re Lowrie) · filed 1994-01-07(a)(1)(B)(i)

In a case like Carapella, however, the taxpayer/debtor has met with the IRS, signed a form containing sufficient information to calculate his or her tax liability, and admitted owing the taxes. That is, the debt- or has essentially consented to the assessment. In such a situation, the documents signed by the debtor and provided to the IRS are properly treated as filed returns for purposes of Bankruptcy Code § 523(a)(l)(B)(i).

Section 523(a)(1)(B)(i) does not bar discharge when completed tax returns filed in Tax Court provide the IRS the information needed to determine the debtor’s tax liability.

Elmore v. United States (In Re Elmore) · filed 1994-01-11(a)(1)(B)(i)

The Court finds that the 1981, 1982 and 1983 tax returns filed as part of the debtor’s Petition in the United States Tax Court in November of 1987 constitute a sufficient filing of such returns so as to remove them from the exceptions from discharge as contemplated under 11 U.S.C. Section 523(a)(l)(B)(i).

Section 523(a)(1)(C) does not except a tax debt from discharge merely because the debtor knew it was due and failed to pay it.

Williams v. United States (In Re Williams) · filed 1994-01-31(a)(1)(C)

Applying the foregoing principles, it is clear that this is not the case of a fraudulent return, but it is merely a failure to pay a tax due and owing where the taxpayer was aware of the obligation to pay the tax in question. Obviously this would not be sufficient to except the liability from the general discharge under § 523(a)(1)(C) because no debtor who owes taxes to the Government would be entitled to the protection of the general Bankruptcy discharge.

Section 523(a)(1)(B)(i) makes a tax debt nondischargeable when the debtor did not file a required return, even if the IRS prepared a substitute return.

Brown v. United States (In Re Brown) · filed 1994-02-09(a)(1)(B)(i)

That section provides that the debtor is not discharged from any debt for a tax with respect to which a return, if required, was not filed. Thus, an individual’s tax debt is nondischargeable if he has failed to file a return, even if the IRS filed a substitute return.

Section 523(a)(1)(A) makes taxes entitled to priority status nondischargeable.

Bilski v. Commissioner · filed 1994-02-10(a)(1)(A)

Moreover, taxes entitled to priority status are nondischargeable. 9 11 U.S.C. sec. 523(a)(1)(A) . Thus, the bankruptcy code itself refutes petitioners' contention.

Section 523(a)(1)(A) excepts income tax debts from discharge when the taxes were assessed within 240 days before the bankruptcy petition.

Greco v. United States (In re Greco) · filed 1994-02-16(a)(1)(A)

Thus, the determination of whether the tax liability of the Debtors will be dischargeable will turn on the provisions of § 507(a)(7), specifically, § 507(a)(7)(A)(ii). ... The second assessment, made in February of 1993 and based on the same taxable years as the first assessment, was made well within 240 days before the petition for relief was filed.

Section 523(a)(1)(B)(i) makes taxes nondischargeable when the debtor fails to file a required return; an IRS substitute return does not count as the debtor's filing.

Eastwood v. Department of the Treasury, Internal Revenue Service, United States (In Re Eastwood) · filed 1994-02-24(a)(1)(B)(i)

It is well settled that the preparation of a substitute return by the Internal Revenue Service does not itself constitute the filing of a return for dischargeability purposes. ... Since the debtors failed to file a federal income tax return for the 1988 taxable year, the 1988 taxes, as well as the penalties and interest, are nondischargeable in this • bankruptcy case.

Section 523(a)(1)(C) excepts a tax debt from discharge when a debtor willfully attempts to thwart collection of the tax, even if the attempt does not succeed.

United Stated v. Sumpter (In Re Sumpter) · filed 1994-03-09(a)(1)(C)

This provision does not require, as appellant suggests, that an attempt to evade or defeat a tax to be successful; but only that it was “willful.”

Interest on tax penalties discharged under § 523(a)(7)(B) is also dischargeable, even when the underlying tax is not.

Teeslink v. United States, Department of the Treasury (In Re Teeslink) · filed 1994-03-14(a)(7)(B)

I find that as to the years in which debtor’s tax penalties are discharged, the interest attributable to such penalties is also discharged.

Section 523(a)(1)(C) prevents discharge of a tax debt when a debtor willfully evades tax liability or payment, including by concealing or transferring assets.

United States v. Freidus (In Re Freidus) · filed 1994-03-31(a)(1)(C)

The plain meaning of this Bankruptcy Code provision is to prohibit the discharge of tax debts where the taxpayer willfully attempts in any manner to evade or defeat any tax or payment thereof and includes willful attempts to evade taxes by concealing and transferring assets to protect them from either execution or attachment.

Section 523(a)(1)(B)(i) excepts a tax debt from discharge when a required return was never filed; the state’s audit papers do not count as a filed return.

Semenek v. DEPT. OF REVENUE OF STATE OF ILL. · filed 1994-04-12(a)(1)(B)(i)

The court therefore concludes that the Department’s preparation of audit reports does not constitute a filed return under Illinois law and thus does not constitute a filed return under 11 U.S.C. § 523(a)(1).

Section 523(a)(1)(B)(i) prevents discharge of tax debts for years in which the debtor failed to file a valid return.

Valdez v. United States · filed 1994-04-21(a)(1)(B)(i)

Accordingly, because income tax liabilities may not be discharged for those years in which a taxpayer fails to file a valid return, the district court properly granted summary judgment for the IRS on this issue.

Section 523(a)(1) does not prevent discharge of a debtor’s personal liability for taxes more than three years old when no other exception applies.

Fandre v. District Director, Dallas District, Internal Revenue Service (In Re Fandre) · filed 1994-05-10(a)(1)

Because this liability has been owing for in excess of three years it is not protected from discharge. 11 U.S.C. § 523(a)(1).

When fraud is not alleged, § 523(a)(1)(C) requires an affirmative act to mislead or conceal before a tax debt is nondischargeable for willful evasion.

Howard v. United States (In Re Howard) · filed 1994-05-11(a)(1)(C)

This Court agrees with the application of the definition of willful as applied in the criminal tax evasion statute with respect to 11 U.S.C. § 523(a)(1)(C). ... There must be a showing of some affirmative act or conduct to mislead or conceal by the debtor.

Section 523(a)(1)(C) bars discharge of tax debt when the debtor voluntarily, consciously, and intentionally fails to file a return and pay the tax.

In Re Edward W. Toti, Debtor. Edward W. Toti v. United States · filed 1994-05-13(a)(1)(C)

The district court correctly held that failure to file a tax return and failure to pay a tax fall within the definition in § 523(a)(1)(C) of a willful attempt to evade or defeat a tax liability. The court also correctly held that Toti willfully attempted to evade or defeat his tax liability.

Section 523 excepts priority tax debts from an individual Chapter 11 debtor’s discharge even when the taxes were neither assessed nor filed as a claim before plan confirmation.

Fein v. United States (In Re Fein) · filed 1994-06-13(a)(1)(A)

Under § 1141(d)(2), confirmation does not discharge an individual debtor from any debt excepted from discharge under 11 U.S.C. § 523, which excepts from discharge taxes entitled to priority under 11 U.S.C. § 507.

Section 523 makes pre-petition interest on a tax debt arising from willful tax evasion nondischargeable, but permits discharge of penalties tied to a transaction that occurred more than three years before the bankruptcy petition.

Leahey v. United States, Internal Revenue Service (In Re Leahey) · filed 1994-06-23(a)(1)(C), (a)(7)(B)

For all of the above stated reasons, this court holds that the pre-petition interest attributable to debtor’s 1982 tax debt is non-dischargeable under 11 U.S.C. § 523(a)(1)(C) and the penalties attributable to the debt are dischargeable under § 523(a)(7)(B).

Section 523(a)(1)(C) makes tax debts nondischargeable when a debtor willfully attempts to evade or defeat the tax.

Dube v. United States (In Re Dube) · filed 1994-07-07(a)(1)(C)

For the reason stated herein, the Court finds Lawrence and Janet Dubes’ debt to the IRS are nondischargeable according to § 523(a)(1)(C).

Section 523(a)(1)(B)(i) does not except a tax debt from discharge for failure to file an amended return when the taxing authority did not require one.

Olson v. United States Ex Rel. Department of Treasury (In Re Olson) · filed 1994-07-13(a)(1)(B)(i)

Accordingly, the State did not “require” the debtors to submit amended returns for those years within the meaning of § 523(a)(l)(B)(i), and the tax obligations for those years are dischargeable.

Section 523(a)(1)(C) excepts a tax debt from discharge when the debtor filed a fraudulent return, even without a finding of willful tax evasion.

Ragone v. United States (In re Ragone) · filed 1994-07-19(a)(1)(C)

Willful evasion of tax is only one of two grounds found for exception to discharge in Section 523(a)(1)(C). The other basis is when the debtor files a fraudulent tax return. ... Because the Tax Case has established that Ragone did file such fraudulent returns, this Court is bound by collateral estoppel to find Ragone’s income tax liability for the years 1973, 1974, and 1975 is not dischargeable.

Section 523(a)(1)(A) excepts an income tax debt that became due within three years of bankruptcy from discharge, regardless of whether the return was filed on time, filed late, or not filed.

Muhle v. Internal Revenue Service (In re Muhle) · filed 1994-09-01(a)(1)(A)

I therefore conclude that an income tax obligation of a debtor which became due within three years of bankruptcy is excepted from discharge under § 523(a)(1)(A) regardless of whether a tax return was filed in a timely manner or not filed at all.

Section 523(a)(1)(A) makes priority state withholding taxes and related interest nondischargeable.

Erickson v. Commissioner of IRS · filed 1994-09-30(a)(1)(A)

This amount is a priority item under § 507(a)(7) and is nondisehargeable under 11 U.S.C. § 523(a)(1)(A).

Section 523(a)(1) excepts income taxes from discharge when the debtor filed no return or when the taxes remained assessable when the bankruptcy case began.

Delaney v. United States (In re Delaney) · filed 1994-10-18(a)(1)

Under either possible version of the facts the taxes for the years 1982 through 1984 are nondischargeable. Either the Debt- or did not file his returns, in which case the taxes are nondischargeable under 11 U.S.C. § 523(a)(1)(B)(i) or he did file them, but the Internal Revenue Service made no assessment based on them prior to the date that his bankruptcy petition was filed and the taxes are nondischargeable under 11 U.S.C. § 523(a)(1)(A).

Section 523(a)(1)(A) excepts priority tax debts from discharge.

Brown v. United States ex rel. Internal Revenue Service (In re Brown) · filed 1994-12-12(a)(1)(A)

Since the IRS is entitled to the priority, judgment will be entered excepting the tax debt owed to the United States from the plaintiffs’ discharge.

Section 523(a)(1)(A) excepts tax debts from discharge when they qualify as priority claims under section 507(a)(7)(A)(iii).

Vitaliano v. California, Franchise Tax Board (In Re Vitaliano) · filed 1995-01-09(a)(1)(A)

Since the tax deficiencies were assessed after the bankruptcy petition was filed, but before the end of the 4-year assessment period, the tax claims were priority claims under 11 U.S.C. § 507(a)(7)(A)(iii) and are therefore nondis-chargeable pursuant to 11 U.S.C. § 523(a)(1)(A).

Section 523(a)(1)(C) excepts tax debts from discharge when debtors willfully attempt to evade or defeat the taxes.

Halburg v. United States (In Re Halburg) · filed 1995-01-25(a)(1)(C)

The Court is satisfied that the United States has proven by a preponderance of the evidence that the plaintiffs willfully attempted to evade or defeat their federal income tax obligations. The taxes owed by the plaintiffs for the taxable years of 1983, 1984, 1985, 1986, 1987 and 1988 are nondis-chargeable in bankruptcy. 11 U.S.C. § 523(a)(1)(C).

An IRS-prepared return made with the debtor’s cooperation and signed by the debtor counts as a return under § 523(a)(1)(B)(i).

Gless v. United States Ex Rel. Internal Revenue Service (In Re Gless) · filed 1995-02-10(a)(1)(B)(i)

As a matter of law, this Court finds that a return filed pursuant to § 6020(a) of the Internal Revenue Code, which is prepared with the cooperation of the debtor and signed by the debtor is deemed to be a return under § 523(a)(l)(B)(i) of the Bankruptcy Code.

Section 523(a)(1)(C) makes a tax debt nondischargeable when the debtor willfully evades the tax, including by filing false withholding statements and failing to file returns or pay.

Ketchum v. United States (In Re Ketchum) · filed 1995-02-13(a)(1)(C)

The bankruptcy court in this case did not err in considering evidence that the debtor filed false W-4 withholding statements and that he failed to file a tax return or pay his federal tax liability. The court did not err when it found this evidence to be sufficient proof of an intent to evade one’s tax liability. Therefore, this Court will affirm the bankruptcy court’s decision that the evidence established a willful evasion under § 523(a)(1)(C) and that the debtor’s tax obligations for 1982 through 1986 are non-dis-chargeable.

Section 523(a)(1)(B)(ii)’s two-year period for late-filed tax returns is suspended during an earlier bankruptcy stay and for six months after the stay ends.

Tibaldo v. United States (In Re Tibaldo) · filed 1995-03-07(a)(1)(B)(ii)

Additionally, because the court has already adopted the reasoning of Stoll and found that the suspension, provided by § 6503 as incorporated by § 108(c), applies to the exception to discharge period provided by § 523(a)(l)(B)(ii), the six-month extension beyond the lifting of the automatic stay in accordance with the reasoning in West should likewise apply.

Section 523(a)(1)(B)(ii)’s two-year period for late-filed tax returns is not a filing deadline that Bankruptcy Rule 9006(a) can extend.

Smith v. United States (In Re Smith) · filed 1995-03-09(a)(1)(B)(ii)

The date which falls “two years before the date of the filing of the petition” under § 523(a)(l)(B)(ii) does not represent a filing deadline which can be expanded by Fed. R.Bankr.P. 9006(a).

Section 523(a)(1)(C) does not except tax debt from discharge when the debtor did not willfully attempt to evade payment of the taxes.

United States v. Uria · filed 1995-03-30(a)(1)(C)

This Court therefore finds that United States has not met its burden of showing that the Bankruptcy Court clearly erred in finding that Debtor did not willfully attempt to evade taxes. Accordingly, this Court AFFIRMS the Bankruptcy Court’s finding that Debtor did not willfully attempt to evade payment of taxes. This Court further AFFIRMS the Bankruptcy Court’s conclusion that all tax liabilities for or resulting from tax years 1975, 1976, 1977, 1978, 1986, 1987 and 1989 including penalties, interest and statutory additions are dischargeable.

Section 523(a)(1)(C) excepts tax debts from discharge when debtors willfully attempt to evade or defeat the taxes.

Pierce v. United States (In Re Pierce) · filed 1995-04-12(a)(1)(C)

Under these facts and the foregoing law, the Court concludes that Debtors have willfully attempted to evade or defeat taxes under § 523(a)(1)(C). Therefore, Debtors’ federal income tax debt from tax years 1978, 1979, 1980, 1982 and 1986 is excepted from discharge.

Section 523(a)(1)(C) does not make a tax debt nondischargeable solely because the debtor failed to pay it.

In Re Haas · filed 1995-03-30(a)(1)(C)

Therefore, we hold that a debtor's failure to pay his taxes, alone, does not fall within the scope of section 523(a)(1)(C)'s exception to discharge in bankruptcy.

Section 523(a)(1)(C) excepts a tax debt from discharge if the debtor filed a fraudulent return or willfully attempted to evade the tax; the attempt need not be fraudulent.

Goff v. Internal Revenue Service (In Re Goff) · filed 1995-04-06(a)(1)(C)

Use of the disjunctive “or” makes it clear that under this provision discharge of a tax liability will be denied either for filing a fraudulent return or for willfully attempting to evade or defeat the tax. Such a latter attempt need not be fraudulent to render the obligation nondischargeable, it must only be “willful.”

Section 523(a)(1)(A) excepts from discharge state income tax debts that qualify for priority under § 507(a)(7)(A).

Lamborn v. United States Ex Rel. Internal Revenue Service (In Re Lamborn) · filed 1995-04-26(a)(1)(A)

The Court concludes that the’ State taxes herein are granted priority status under 11 U.S.C. § 507(a)(7)(A)(i), (iii), and consequently are excepted from discharge under 11 U.S.C. § 523(a)(1).

Section 523(a)(1)(C) does not except a tax debt from discharge solely because the debtor consented to a civil fraud penalty assessment.

Stodut v. Internal Revenue Service (In Re Stodut) · filed 1995-05-02(a)(1)(C)

I find the reasoning in the Graham opinions to be persuasive and hold that a § 6653(b) civil fraud penalty assessment, even if it is consented to in a stipulation, does not as a matter of law except a tax debt from discharge under § 523(a)(1)(C).

Section 523(a)(1)(B) requires proof that the IRS received a late tax return; proof of mailing alone does not establish filing.

Campbell v. United States (In Re Campbell) · filed 1995-04-18(a)(1)(B)

Delivery or receipt is what Campbell must show — not just mailing.

Section 523(a)(1)(A) excepts income tax debts from discharge when they were unassessed before bankruptcy but remained assessable after the case began.

Doerge v. United States (In Re Doerge) · filed 1995-04-18(a)(1)(A)

Under § 523(a)(1)(A), then, to the extent tax debts were not assessed prior to bankruptcy but are still assessable after commencement of the case, they are nondis-chargeable, priority claims.

Section 523(a)(1)(A) excepts priority tax claims from a Chapter 7 discharge.

Hollar v. United States (In Re Hollar) · filed 1995-04-28(a)(1)(A)

As the due date for both of the returns was within three years of the petition in bankruptcy, the tax liabilities for 1989 and 1990 are priority claims which are excepted from discharge under 11 U.S.C. § 523(a)(1)(A).

Section 523(a)(1)(B)(i) treats a signed Form 4549 as a filed return when the debtor supplies the information needed to calculate the tax and consents to assessment.

Berard v. United States (In Re Berard) · filed 1995-05-10(a)(1)(B)(i)

Therefore, as a matter of law, the Form 4549 in the instant matter satisfies the filing requirements necessary to avoid non-dischargeability under 11 U.S.C. § 523(a)(l)(B)(i).

Section 523(a)(1)(A) excepts income taxes from discharge when they qualify as priority taxes under § 507(a)(7), including when equitable tolling preserves that priority.

Clark v. Internal Revenue Service (In Re Clark) · filed 1995-06-14(a)(1)(A)

11 U.S.C. § 523(a)(1)(A) excepts from discharge taxes described in 11 U.S.C. § 507(a)(7). ... Defendant’s evidence was sufficient to justify equitable tolling and Plaintiffs’ complaint will be denied.

Section 523(a)(1)(C) does not make taxes nondischargeable merely because a debtor knows they are due and pays other debts instead.

United States v. Williams (In Re Williams) · filed 1995-06-09(a)(1)(C)

The recent Eleventh Circuit case of In re Haas, 48 F.3d 1153 (11th Cir.1995) resolves the issue to be decided here in favor of the Debtors. Haas teaches that a debtor’s allocation of assets to liabilities other than taxes, even though the debtor is aware of the taxes due and owing, does not constitute wilful evasion.

Section 523(a)(1)(B)(ii) excepts taxes on late returns from discharge when the returns were filed within two years before bankruptcy; the two-year boundary is not extended for a weekend, and a late return is filed when the IRS receives it.

Smith v. United States · filed 1995-06-13(a)(1)(B)(ii)

To apply Fed.R.Bankr.P. 9006 to expand the date that is “two years before the date of the filing of the petition” would be to impermissibly modify a substantive right. ... Consequently, in the instant case, the date of filing is the date that the returns were received by the IRS, and that date is November 25,1991.

Section 523(a)(1)(C) excepts tax debts from discharge when a debtor willfully evades taxes through culpable omissions or acts of concealment.

Bruner v. United States · filed 1995-06-21(a)(1)(C)

A pattern of non-payment such as is present here, particularly when accompanied by a pattern of failure to file returns and coupled with conduct obviously aimed at concealing income and assets, certainly constitutes a willful attempt to evade or defeat taxes for purposes of § 523(a)(1)(C).

Section 523(a)(1)(C) bars discharge of a tax debt when a debtor willfully transfers property to prevent a tax lien from attaching; each debtor’s willfulness must be assessed separately.

In Re Jerry L. Sumpter and Santina M. Sumpter, Debtors. United States of America v. Jerry L. Sumpter, Santina M. Sumpter · filed 1995-08-22(a)(1)(C)

In contrast, Mr. Sumpter took the affirmative step of transferring property to avoid its attachment as a tax lien, an act to which he admits. By taking this affirmative step, Mr. Sumpter attempted to "wilfully evade or defeat" payment of his tax debt and he is excepted from discharge of that debt under Section 523(a)(1)(C). ... In this case, however, where the conduct primarily concerned Mr. Sumpter's business affairs, which were fairly complex, Mrs. Sumpter's actions cannot be said to be "willful" under Section 523(a)(1)(C).

Section 523(a)(1)(A) excepts from discharge a tax debt entitled to priority under § 507(a)(8)(E), including the Montana Uninsured Employers’ Fund’s assessment for benefits paid to an uninsured employer’s injured employee.

Waldo v. Montana Department of Labor & Industry Uninsured Employers Fund (In Re Waldo) · filed 1995-09-05(a)(1)(A)

IT IS ORDERED a separate Judgment on the merits shall be entered in favor of Defendant/Creditor Montana Department of Labor and Industry Uninsured Employers’ Fund dismissing all counts of the Complaint and providing that UEF’s claim for payments under Mont.Code Ann. § 39-71-504 has priority under 11 U.S.C. § 507(a)(8)(E) and is excepted from discharge under 11 U.S.C. § 523(a)(1)(A).

Section 523(a)(1)(B)(ii) makes a late-filed tax debt nondischargeable when the return is filed within two years before the bankruptcy petition; an unsigned return is not filed until the IRS receives signed verification.

United States, Internal Revenue Service v. Lee (In Re Lee) · filed 1995-09-05(a)(1)(B)(ii)

The late-filed unsigned return was not filed until receipt of the signed verification statement on September 9, 1991. The debtor filed his chapter 7 petition August 25, 1993, within two years. Thus, the tax liability is a non-dischargeable debt under 11 U.S.C. § 523(a)(B)(ii).

Section 523(a)(1)(B)(ii) excepts a tax debt from discharge when a required return was filed late and within two years before the bankruptcy petition.

Grable v. Internal Revenue Service (In Re Grable) · filed 1995-09-11(a)(1)(B)(ii)

One of those is a debt for a tax with respect to which a return, if required, was not filed, or was filed after the date on which said return was last due, under applicable law or under any extension, and after two years before the date of the filing of the petition. ... In view of this fact as well as the law established by the Eighth Circuit the Court holds that the tax obligations for the years 1988 and 1990 which the debtor’s complaint seeks to have declared dischargeable are NONDISCHARGEABLE.

Section 523(a)(1)(A) makes covered tax debts nondischargeable whether or not a claim for the tax was filed or allowed in bankruptcy.

Bellus v. United States · filed 1995-10-02(a)(1)(A)

The statutory language of section 523(a)(1)(A) specifically allows the Internal Revenue Service’s claim to be nondischargeable whether or not a claim is filed in the bankruptcy.

Section 523(a)(1)(C) requires a voluntary, conscious, or intentional attempt to evade tax; mere failure to pay is insufficient.

Fuller v. United States (In Re Fuller) · filed 1995-10-13(a)(1)(C)

The mere failure to pay tax obligations does not amount to a voluntary, conscious or intentional attempt to evade taxes within the meaning of § 523(a)(1)(C).

Section 523(a)(1)(C) makes tax debt nondischargeable when a debtor knowingly fails to file required returns and takes affirmative steps to prevent tax withholding.

Semo v. United States, Internal Revenue Service (In Re Semo) · filed 1995-11-02(a)(1)(C)

In short, debtor committed affirmative acts as well as acts of omission in attempting to evade or defeat paying his federal income taxes for tax years 1985 and 1986. ... Judgment will be entered in favor of IRS and against debtor declaring that the debt owed to IRS for unpaid income tax and interest for tax years 1985 and 1986 is nondis-chargeable pursuant to 11 U.S.C. § 523(a)(1)(C).

Section 523(a)(1)(A) excepts priority income taxes from discharge when an earlier bankruptcy tolled the three-year priority period, along with related interest and penalties.

Shedd v. United States (In Re Shedd) · filed 1996-01-10(a)(1)(A)

Therefore, the Debtors’ 1989 taxes and all interest and penalties pertaining thereto are priority claims of the Government under § 507(a)(8)(A)(i), and are non-dischargeable taxes under § 523(a)(1)(A).

Section 523(a)(7)(B)’s three-year limitation applies only to tax fines, forfeitures, and penalties.

Ricketson v. Florida Department of Environmental Protection (In Re Ricketson) · filed 1995-12-18(a)(7)(B)

This Court finds that subsection 523(a)(7)(B) applies only to tax fines, forfeitures, and penalties.

Section 523(a)(1)(C) bars discharge when a debtor intentionally evades tax liability, including by spending substantial income on other expenses instead of paying taxes.

Wright v. Internal Revenue Service (In Re Wright) · filed 1995-12-26(a)(1)(C)

First, I find no ambiguity in the broad language of Section 523(a)(1)(C). That provision embraces intentional attempts to evade tax liability “in any manner.” I agree with the Haas Court that under a straightforward, “plain” reading of the statute, it will be difficult for a taxpayer who decides to spend his substantial income on expenses other than taxes to obtain discharge.

Section 523(a)(7) excepts penalties for late partnership information returns from discharge when the returns were due within three years before the bankruptcy petition: no tax is due with those returns, and neither penalty exception applies.

Kiesner v. Internal Revenue Service (In Re Kiesner) · filed 1996-01-19(a)(7)

The Form 1065 return only provides information because the partnership income is taxed to the individual partners; no tax is due upon filing the return. Thus, 11 U.S.C. § 523(a)(7)(A) does not apply. ... Since this penalty does not fit within the second exception to the exception, § 523(a)(7)(B), it is subject to the general exception of § 523(a)(7) and is not discharge-able.

Section 523(a)(1)(B)(i) prevents discharge of a tax debt when the debtor has not filed a required return; a form containing no information from which the tax can be calculated is not a return.

United States v. Coon · filed 1996-01-30(a)(1)(B)(i)

Since nothing can be calculated from Coon's asterisks, Coon's 1040s were not "returns," under section 523, and his Chapter 7 bankruptcy did not extinguish his tax liabilities.

Section 523(a)(1)(A) leaves qualifying priority taxes nondischargeable whether or not the government files a proof of claim.

McConahey v. United States (In Re McConahey) · filed 1996-02-16(a)(1)(A)

The express language of § 523(a)(1)(A) makes filing a proof of claim immaterial in determining the nondiseharge-ability of a debt.

Section 523(a)(1)(A) excepts from discharge an income tax that remains assessable when the debtor files for bankruptcy.

In Re Richard BRACEY, Debtor. FRANCHISE TAX BOARD, STATE OF CALIFORNIA, Appellant, v. Richard BRACEY, Appellee · filed 1996-02-21(a)(1)(A)

At the time of Bracey’s discharge, § 523, in turn, excepted from discharge taxes “of the kind and for the periods specified” in § 507(a)(7). ... Because Bracey’s tax deficiency was not assessed until after he filed for bankruptcy, the assessment is excepted from discharge.

Section 523(a)(1)(C) makes a tax debt nondischargeable if the debtor made a fraudulent return or willfully attempted to evade the tax; either ground suffices.

Berkery v. Commissioner, Internal Revenue Service · filed 1996-02-22(a)(1)(C)

Furthermore, since § 523(a)(1)(C) provides two alternative grounds for which a tax liability may be declared nondischargeable, it should be construed in the disjunctive.

Section 523(a)(1)(C) can except tax debts from discharge when a debtor knowingly and intentionally fails to file and pay taxes, even without an affirmative act of concealment.

Parker v. United States (In Re Parker) · filed 1996-03-08(a)(1)(C)

On the next and final prong, the Debtor must have voluntarily and intentionally violated the duty. It is clear that Parker failed to file his tax returns and made payments for 1984-1988 only after the IRS commenced a criminal investigation. These are acts of omission as well as commission. The evidence clearly preponderates in favor of the IRS and against Parker under the Bruner analysis.

Section 523(a)(1)(C) excepts tax debts from discharge when a debtor willfully conceals assets to evade tax payment or collection.

Dalton v. IRS · filed 1996-03-12(a)(1)(C)

In any event, Dalton’s subsidiary argument fails under our interpretation that § 523(a)(1)(C) encompasses the various schemes, including concealment, by which tax evasion may be accomplished.

Section 523(a)(1)(A) and (B)(ii) do not except these income taxes from discharge based on the admitted dates when the returns were due and filed and the taxes were assessed.

Mickle v. United States (In re Mickle) · filed 1996-04-15(a)(1)(A), (a)(1)(B)(ii)

As set forth above, in this ease the United States admitted the allegations in the Complaint that the tax liabilities for 1979, 1981, and 1989 are income taxes for which the returns were last due “before three years before the date of the filing of the petition,” and also admitted that the taxes were assessed in 1990 and 1991. Consequently, the Court finds that these material facts appear without substantial controversy, and that the taxes do not fall within the exception to discharge contained in § 523(a)(1)(A) and § 507(a)(8)(A) of the Bankruptcy Code. Further, the United States also admitted that the returns for each of the tax years in question were filed more than two years before the chapter 7 petition was filed. Accordingly, the Court also finds that this material fact appears without substantial controversy, and that the taxes do not fall within the exception to discharge contained in § 523(a)(1)(B)(ii) of the Bankruptcy Code.

Section 523(a)(1)(A), as applied with former § 507(a)(7), does not except interest on a secured tax claim from a Chapter 11 discharge.

United States v. Victor · filed 1996-04-18(a)(1)(A)

Inasmuch as postpetition interest on a secured claim of the United States does not fit within the type or characterization of claims identified in § 523(a)(1) and § 507(a)(7), such claim is dischargeable pursuant to § 1141.

Section 523(a)(1)(C) excepts tax debts from discharge when a debtor willfully takes affirmative steps to evade or defeat the taxes; failure to pay alone is insufficient.

Spirito v. United States (In Re Spirito) · filed 1996-05-10(a)(1)(C)

The Spiritos’ conscious decision to send knowingly untruthful correspondence to the IRS as part of a deliberate effort to remove themselves from the federal income tax system constitutes an affirmative act to evade or defeat their taxes. ... For the foregoing reasons, the Spiritos’ assessed federal income tax liabilities for the years 1989 through 1991, inclusive, are excepted from discharge pursuant to 11 U.S.C. § 523(a)(1)(C).

Section 523(a)(1)(C) excepts tax debts from discharge when a debtor willfully conceals assets to evade payment or collection.

Dalton v. Internal Revenue Service · filed 1996-05-21(a)(1)(C)

In any event, Dalton’s subsidiary argument fails under our interpretation that § 523(a)(1)(C) encompasses the various schemes, including concealment, by which tax evasion may be accomplished.

Section 523(a)(14) permits a court to apportion commingled loan proceeds to determine how much of a debt incurred to pay federal taxes is excepted from discharge.

MBNA America v. Chrusz (In Re Chrusz) · filed 1996-05-16(a)(14)

Since commingled funds in a bank account cannot be specifically traced, the Court must formulate what portion of the access check most probably went to pay a tax obligation to the United States. In order to do this, the Court has determined that the check to the Internal Revenue Service equaled 85.26 percent of the bank statement balance on April 17,1995, of $29,188.47. The Court has then applied this percentage to the $16,000 access cheek (16,000 x 85.26%) for a result of $13,641.60, which the Court finds is the amount excepted from discharge.

Section 523(a)(1)(B)(i) allows an IRS-prepared form to count as a filed return when the debtor assists in its preparation and assents to it.

Parker v. United States (In Re Parker) · filed 1996-06-05(a)(1)(B)(i)

Accordingly, for a tax to be determined non-dischargeable under Section 523(a)(1)(B)(i) on the basis that a “return” was “not filed,” it must be determined not only that the debtor did not file a Form 1040 tax return, but also that no form was prepared by the Internal Revenue Service with the debtor’s assistance and assent.

Section 523(a)(1)(C) does not except a tax debt from discharge merely because the debtor under-reported income, without proof of a fraudulent return or willful tax evasion.

Burgess v. United States (In Re Burgess) · filed 1996-06-07(a)(1)(C)

The mere fact that debtors under-reported income, without more, does not permit a finding that debtors filed a fraudulent tax return nor that debtors willfully attempted to evade such tax. Accordingly, the claim of non-dischargeability cannot be sustained.

Section 523(a)(1)(C) excepts a tax debt from discharge when the debtor attempts to evade or defeat the tax willfully.

In the Matter of Joseph J. Birkenstock and Generose M. Birkenstock, Debtors-Appellants · filed 1996-07-03(a)(1)(C)

The plain language of the second part of § 523(a)(1)(C) comprises both a conduct requirement (that the debtor sought “in any manner to evade or defeat” his tax liability) and a mental state requirement (that the debtor did so “willfully”).

Section 523(a)(1)(C) excepts a tax debt from discharge when the debtor’s conduct, considered as a whole, shows a voluntary, conscious, and intentional attempt to evade the tax.

In the Matter of William H. Zuhone, Jr., and Audra M. Zuhone, Debtors-Appellants · filed 1996-07-08(a)(1)(C)

It is clear that the sum total of the Zuhones’ actions throughout the several years in question provides a more than adequate basis for the lower court to conclude that the Zuhones were attempting to avoid paying their taxes, and that their attempts were “voluntary, conscious, and intentional.”

Section 523(a)(1)(C) excepts a tax debt from discharge when a debtor willfully transfers assets to shield them from tax collection.

United States v. Schaeffer (In Re Schaeffer) · filed 1996-06-14(a)(1)(C)

The court must conclude that he did so to shield the property from execution or attachment by the IRS, with the intent to defeat or evade the payment of his tax liabilities.

Section 523(a)(1)(C) requires a voluntary, conscious and intentional violation of a known legal duty to establish a willful attempt to evade tax.

Smith v. United States · filed 1996-06-19(a)(1)(C)

It is this Court’s position that “willful” in this context requires only a voluntary, conscious and intentional violation of a known legal duty.

Section 523(a)(1)(A) excepts priority tax debts under § 507(a)(8) from discharge.

Miller v. Internal Revenue Service (In Re Miller) · filed 1996-08-28(a)(1)(A)

Hence, Plaintiffs 1986 income taxes are entitled to priority pursuant to 11 U.S.C. § 507(a)(8) and therefore, are non-dischargeable pursuant to 11 U.S.C. § 523(a)(1).

Section 523(a)(1)(C) does not except a tax debt from discharge on the basis of a fraudulent return unless the debtor knew the return was fraudulent.

Riley v. United States, Internal Revenue Service (In Re Riley) · filed 1996-08-07(a)(1)(C)

With respect to Mrs. Riley, the IRS does not cite any cases in support of its legal argument, and all cases reviewed by the Court are consistent in their holdings that a debtor must have known a return was fraudulent before the debt is excepted from discharge.

Section 523(a)(1)(C) requires intent to evade or defeat a tax for the resulting tax debt to be nondischargeable on that ground.

Friedman v. Internal Revenue Service (In Re Friedman) · filed 1996-08-29(a)(1)(C)

Because the issue of intent is a necessary element of the “willfulness” required to render the tax obligation nondisehargeable under § 523(a)(1)(C), partial summary judgment is not possible.

Section 523(a)(1)(A) covers a qualifying property tax and its postpetition interest, but remaining interest liability is discharged when the debtor pays the tax claim under a confirmed Chapter 11 plan satisfying § 1129(a)(9)(C).

Winchell v. Town of Wilmington (In Re Winchell) · filed 1996-09-18(a)(1)(A)

Accordingly, it faKs within the scope of debts excepted from discharge under § 523(a)(1)(A). And the same is true of postpetition interest on the tax. ... Therefore, where the Debtor pays a priority tax claim pursuant to and in accordance with a confirmed chapter 11 plan that conforms to § 1129(a)(9)(C), the Debtor’s liability on the claim is satisfied, and any remaining liability for interest on the claim is deemed discharged.

Section 523(a)(1)(C) makes tax debts nondischargeable when a debtor voluntarily and intentionally fails to file returns and pay taxes despite having the ability to do so.

Parker v. United States · filed 1996-09-10(a)(1)(C)

Therefore, Mr. Parker’s actions, like Tonti’s, constituted “omissions” and excluded him from the “honest debtor” category that the Bankruptcy Code was designed to protect. Although his behavior was “passive,” Mr. Parker had the wherewithal to file his return and pay his taxes, but he voluntarily, consciously, and intentionally did not fulfill his obligation. Thus, the Bankruptcy Court’s decision is correct in light of current Fifth Circuit precedent.

Section 523(a)(1)(B)(ii) makes a late-filed income tax debt nondischargeable when the return was filed within two years before the bankruptcy petition; Rule 9006 does not shift that period because its start date fell on a weekend.

In Re Mark Smith, Debtor. Mark Smith v. United States · filed 1996-09-19(a)(1)(B)(ii)

The critical issue then is whether he filed the returns after “two years before” that date, a phrase that would conventionally mean November 23, 1991. If he did, he remains hable to the United States despite his bankruptcy. ... For these reasons, the district court correctly held that Rule 9006 did not apply.

Section 523(a)(1)(B)(ii) allows discharge of tax debts when a valid late return was filed more than two years before bankruptcy; filing after the period to contest a deficiency does not by itself disqualify the return.

Sullivan v. United States (In Re Sullivan) · filed 1996-09-20(a)(1)(B)(ii)

Whatever its view of the Debtor’s actions, this Court cannot import into section 523(a)(1)(B)(ii) a qualification not imposed by Congress unless it appears that the Debtor’s 1040’s were filed too late to qualify as “returns” under the Internal Revenue Code. ... Here, it is clear that the 1040’s were not nullities under the tax law, whatever the Debtor’s motivation in filing them.

Section 523(a)(1)'s exception for tax debts does not cover a transferee's independent liability for another person's unpaid taxes.

Riffe v. United States of America (In Re Pert) · filed 1996-09-27(a)(1)

Based upon the authority discussed above, this Court finds the transferee liability is not a tax and, therefore, not excepted from discharge under § 507 and § 523.

Under § 523(a)(1)(C)'s willful evasion prong, the IRS must prove that the debtor knew the return was false, intended to evade tax, and underpaid tax.

Blaker v. United States, Department of Treasury, Internal Revenue Service (In Re Blaker) · filed 1996-11-06(a)(1)(C)

The IRS must establish the ultimate facts that (1) the Debtor had knowledge of the falseness of the return, (2) the Debtor had an intent to evade the taxes, and (3) there was an underpayment of the tax.

Section 523(a)(1)(C) does not except a tax debt from discharge when the debtor neither willfully attempted to evade the tax nor knowingly filed a fraudulent return.

Zimmerman v. United States (In Re Zimmerman) · filed 1996-12-11(a)(1)(C)

Therefore, the Court does not have before it sufficient evidence to find that Mr. Zimmerman “willfully attempted to evade or defeat a tax.” ... The Court also finds that Mr. Zimmerman did not file fraudulent returns, for which to except the debt from discharge pursuant to 11 U.S.C. § 523(a)(1)(C).

Section 523(a)(1)(C) excepts taxes, penalties, and interest attributable to a debtor’s fraud from discharge.

Palmer v. United States, Internal Revenue Service (In re Palmer) · filed 1996-12-13(a)(1)(C)

Since the Tax Court has already made a determination of fraud, which is binding on this Court, Palmer’s tax, including penalties and interest, that was previously determined to be attributable to fraud, is excepted from discharge pursuant to 11 U.S.C. § 523(a)(1)(C).

Section 523(a)(1)(A) excepts income taxes from discharge when they were assessed within 240 days before the bankruptcy petition.

Hardie v. United States (In Re Hardie) · filed 1996-12-24(a)(1)(A)

Thus, the IRS assessed Hardie’s tax deficiencies less than 240 days before he filed his bankruptcy petition, and under 11 U.S.C. §§ 523(a)(1)(A) and 507(a)(8)(A)(ii) those deficiencies are not dischargeable debts.

Section 523(a)(7)(B)’s three-year tax discharge period is not suspended during a prior bankruptcy case through § 108(c) and Internal Revenue Code § 6503.

Matter of Pastula · filed 1997-01-07(a)(7)(B)

For the aforementioned reasons this court hereby finds that the debtor’s filing of the first bankruptcy case did not suspend the ... running of the three year periods under both 523 and 507 by the incorporation of I.R.C. § 6503 through Bankruptcy Code § 108(c).

Section 523(a)(7)(B)'s three-year exception applies only to tax-related penalties.

Durham Inland Wetlands & Watercourses Agency v. Jimmo (In Re Jimmo) · filed 1997-01-16(a)(7)(B)

The court concludes that it will not follow Corbly and rules that, based upon the foregoing analysis of statutory language and legislative history, subparagraph (B) only applies to tax-related penalties, rather than to all fines, penalties and forfeitures which are excepted from discharge under § 523(a)(7).

Section 523(a)(7) makes tax penalties nondischargeable when the underlying tax is nondischargeable.

Hartman v. United States (In Re Hartman) · filed 1990-02-14(a)(7)

The Roberts decision is by far the minority approach on this issue, as most courts have held that the tax penalties are nondischargeable if the tax itself is nondischargeable. ... This court is convinced the majority approach taken in interpreting § 523(a)(7) correctly reflects congressional intent.

Section 523(a)(1)(B)(i) excepts taxes from discharge when the debtor failed to file a required return, even if the IRS prepared a substitute return.

Chastang v. United States (In Re Chastang) · filed 1990-06-11(a)(1)(B)(i)

Case law directly on point holds that 11 U.S.C. § 523(a)(1)(B)(i) excepts from discharge taxes for which the debtor failed to file a return, even if the Internal Revenue Service filed a substitute for return pursuant to 26 U.S.C. 6020(b).

Section 523(a)(1)(C) requires proof of the debtor’s own fraudulent intent or willful attempt to evade a tax before the tax debt is excepted from discharge.

Mickle v. United States (In Re Mickle) · filed 1997-01-24(a)(1)(C)

Such intent or willfullness is a necessary element under Section 523(a)(1)(C).

Section 523(a)(1)(C) excepts tax debts from discharge when the debtor willfully attempts to evade payment, as shown by understated income, implausible explanations, and a series of transactions.

Sommers v. Internal Revenue Service (In Re Sommers) · filed 1997-03-11(a)(1)(C)

The understatement of income, and the implausible and inconsistent explanations, combined with the series of transactions reveal a course of conduct used to willfully evade the payment of taxes.

Section 523(a)(1)(A) excepts additional tax first disclosed in an amended return from discharge when the bankruptcy case begins within the applicable three-year priority period measured from that return.

Lamborn v. United States Ex Rel. Internal Revenue Service (In Re Lamborn) · filed 1997-01-31(a)(1)(A)

To determine whether a tax debt is excepted from discharge, § 523(a)(1)(A) adopts the same standards used to determine certain tax priorities under 11 U.S.C. § 507(a)(7)(A). ... Accordingly, the tax debt newly disclosed by debtors’ amended return fits comfortably within the three-year period of priority and nondis-chargeability established by § 507(a)(8)(A)(i).

Section 523(a)(1)(B)(i) does not treat an IRS substitute return prepared without the debtor’s assistance as a return filed by the debtor.

Gentry v. United States (In Re Gentry) · filed 1997-02-05(a)(1)(B)(i)

However, where the IRS must prepare the substitute return to § 6020(b), without the assistance of the taxpayer, as was the case here, the substitute form cannot count as a filed return for purposes of § 523(a)(1).

Section 523(a)(1)(A) makes a debtor's obligation to reimburse a state uninsured employers fund for workers' compensation benefits nondischargeable when the obligation is a priority excise tax.

In Re James E. Waldo, Debtor. James E. Waldo v. State of Montana, Department of Labor and Industry Uninsured Employers F · filed 1997-02-20(a)(1)(A)

We conclude that Waldo's argument is foreclosed by our recent opinion in Industrial Comm'n v. Camilli (In re Camilli), 94 F.3d 1330, 1334 (9th Cir.1996), petition for cert. filed, 65 U.S.L.W. 3433 (U.S. Dec. 4, 1996) (No. 96-913), in which we held that a debtor's obligation to a state uninsured employer's fund for worker's compensation benefits paid to the debtor's employee is a nondischargeable excise tax.

Section 523(a)(1)(B) does not require a debtor to file a tax return before IRS assessment for the tax debt to be dischargeable.

Hindenlang v. United States (In Re Hindenlang) · filed 1997-02-24(a)(1)(B)

The position of the IRS would result in this court placing a significant additional requirement on the taxpayer to avoid nondischargeability, that is, filing a return prior to assessment. Such a requirement is not expressed in the statute, and we will not interpret the statute to so require for a few additional reasons.

Section 523(a)(1)(C) requires the government to prove an affirmative act designed to defraud it before a tax debt is excepted from discharge for willful evasion.

Greene v. United States (In Re Greene) · filed 1997-03-17(a)(1)(C)

The Defendant has failed to prove that the tax debt should be excepted from Plaintiffs’ discharge pursuant to 11 U.S.C. § 523(a)(1)(C). Accordingly, the Court concludes that Plaintiffs’ 1984 tax liability is dischargeable.

Section 523(a)(1)(C) makes tax debts nondischargeable when a debtor willfully evades taxes through fraudulent asset transfers; mere nonpayment alone is insufficient.

Griffith v. United States (In Re Griffith) · filed 1997-03-26(a)(1)(C)

Griffith did not merely fail to pay his taxes, alone, and, therefore, his taxes are nondischargeable, consistent with the analysis of Haas, which is binding authority on this Court.

Section 523(a)(1)(B)(i) does not make a tax debt nondischargeable for failure to report a federal tax reassessment when the taxing authority did not require an amended return.

In Re Jerauld · filed 1997-04-28(a)(1)(B)(i)

Former CRTC § 18451 required Debtor to file a report of the Reassessment. This notice requirement is not the equivalent of requiring Debtor to file an amended tax return. Section 523(a)(1)(B)(i) excepts from discharge a debt if the debtor fails to file a required tax return. Because former CRTC § 18451 did not require Debtor to file an amended return, § 523(a)(1)(B)(i) does not apply, and the bankruptcy court correctly held that the FTB claim was discharged.

Section 523(a)(1)(B)(i) makes a tax debt nondischargeable when the debtor fails to file a required amended state tax return reflecting federal adjustments.

Giacci v. United States (In Re Giacci) · filed 1997-05-22(a)(1)(B)(i)

In the present case, the Debtor failed to file an amended state tax return to reflect the federal adjustments. Therefore, we hold that the tax is nondischargeable under § 523(a)(1)(B)®.

Section 523(a)(1)(B)(i) makes a tax debt nondischargeable when forms filed seven years after the IRS assessed the tax do not qualify as returns.

Mickens v. United States, Internal Revenue Service (In Re Mickens) · filed 1997-05-06(a)(1)(B)(i)

In the case at bar, this Court can find no justification for a finding that a return filed seven years after assessment was intended to be an honest and reasonable attempt to satisfy the requirements of the tax law. Therefore, this Court holds that it would be inequitable in this case to allow it to constitute a tax return under bankruptcy law. Accordingly, and pursuant to the court’s analysis of legal authority in Sullivan, this Court finds that the Plaintiff did not file a “return” pursuant to § 523(a)(1)(B), and the debt is therefore non-dischargeable pursuant to section 523(a)(l)(B)(i).

Section 523(a)(1)(C) excepts tax debt from discharge when a debtor knowingly, voluntarily, and intentionally violates a duty to pay the tax.

Bertelt v. United States (In Re Bertelt) · filed 1997-05-08(a)(1)(C)

IT IS ORDERED that the tax liability of the Debtor, Victoria L. Bertelt, for 1987, 1988, and 1989 income taxes, is determined to be excepted from discharge pursuant to Section 523(a)(1)(C) of the Bankruptcy Code.

Section 523(a)(1)(A) excepts income taxes from discharge when they fall within § 507(a)(8)’s three-year priority period, including when an earlier bankruptcy tolls that period.

Brent v. United States (In Re Brent) · filed 1997-05-22(a)(1)(A)

This rule explains that certain taxes are not discharged and refers to 11 U.S.C. § 507(a)(8) specifically. ... This Court declines to adopt this premise, adhering instead to the Seventh Circuit’s controlling holding in In re Montoya.

Section 523(a)(1)(A) excepts priority taxes from discharge when prior bankruptcy stays toll the three-year period under § 507(a)(8).

Zecco v. United States (In Re Zecco) · filed 1997-05-28(a)(1)(A)

Taxes are not discharged if they are “of the kind and for the periods specified in section ... 507(a)(8).” 11 U.S.C. § 523(a)(1)(A) Thus, § 507, primarily a test of priority for distribution purposes, in this instance controls dischargeability as well. ... I find that all of the taxes claimed by IRS, with the exception of FUTA tax liability for 1985, remain entitled to priority and are nondischargeable in the present case.

Section 523(a)(1)(A) excepts a tax liability from discharge when the assessment remains timely after the limitations period is tolled.

Smargon v. United States, Department of Treasury (In re Smargon) · filed 1997-07-02(a)(1)(A)

Thus, the period of limitations was tolled, pursuant to the strict interpretation of 26 U.S.C. § 6503(a)(1), and the IRS’s assessment on April 6, 1993 was timely. Further, the 1988 tax liability should be excepted from discharge pursuant to 11 U.S.C. § 523(a)(1)(A).

Section 523(a)(1)(B)(i) excepts tax debts from Chapter 7 discharge when a purported return lacks the information needed to compute the tax.

LaRue v. United States, Internal Revenue Service (In Re LaRue) · filed 1997-05-28(a)(1)(B)(i)

Pursuant to 11 U.S.C. § 523(a)(l)(B)(i), a discharge under Chapter 7 “does not discharge an individual debtor from any debt for a tax or a customs duty with respect to which a return, if required was not filed.” ... For these reasons, these tax returns are not lawful tax returns for the years covered by the returns. ... Therefore, these tax liabilities are not dischargeable under Chapter 7.

Section 523(a)(1)(C) requires a finding of the debtor’s specific intent to evade tax before a tax debt can be denied discharge.

Kramer v. United States (In Re Kramer) · filed 1997-06-27(a)(1)(C)

Upon review of the record and relevant legal authority, the Court finds that the bankruptcy court erred in holding that Freytag’s conclusion that the scheme was designed with the purpose to avoid paying taxes necessarily means that Kramer had the specific intent to defraud the government when he engaged in the subject tax scheme. The lack of an independent record finding regarding Kramer’s scienter in this matter constitutes reversible error.

Section 523(a)(1)(A) makes an income tax debt nondischargeable when a granted filing extension places the return’s due date within three years before the bankruptcy petition.

In Re Viego · filed 1997-07-08(a)(1)(A)

But the IRS was not precluded from granting an extension, and an extension to August 15, 1991, was in fact granted to Mr. Viego by the IRS. Consequently, Mr. Vie-go’s taxes for 1990 were not due until August 15, 1991, less than three years before Mr. Viego’s chapter 7 petition in June of 1994. ... Accordingly, the debtor’s obligation to the IRS for his 1990 income taxes is nondis-ehargeable pursuant to 11 U.S.C. § 523(a)(1)(A) and the debtor’s objection to the claim of the IRS is DENIED.

Section 523(a)(1)(C) excepts a tax debt from discharge when a debtor intentionally fails to file returns and fails to pay despite having the resources to do so.

In Re: Henry Fegeley · filed 1997-07-08(a)(1)(C)

Based upon the factual findings of the bankruptcy court, the district court correctly held that Fegeley's intentional failure to file his tax returns, together with his failure to pay taxes when he had the resources to do so, was sufficient to prove that he attempted to evade or defeat his tax liabilities for the tax years at issue.

Section 523(a)(7) generally excepts punitive tax penalties from discharge, subject to exceptions for penalties tied to dischargeable, nonpriority taxes or events more than three years before the petition.

In Re Brabham · filed 1997-07-30(a)(7)

Punitive tax penalties (those which are not compensation for actual pecuniary loss) generally are not discharged. Section 523(a)(7). But a punitive tax penalty (non-compensatory) which relates to a dischargeable, non-priority tax claim is dischargeable. Section 523(a)(7)(A). And a punitive tax penalty imposed with respect to a transaction or event that occurred more than three years before the filing of the bankruptcy petition may be dischargeable. § 523(a)(7)(B).

Section 523(a)(1) excepts automobile excise taxes from discharge when they were incurred within three years before the bankruptcy petition.

In Re Appugliese · filed 1997-07-25(a)(1)

The Court concludes that the tax imposed by M.G.L. c. 60A, § 1 is an excise tax. In this case, the excise taxes are nondischargeable because they were incurred within three years of the filing of the Debtor’s bankruptcy petition.

Section 523(a)(1)(C) does not except a tax debt from discharge when the creditor fails to prove that the debtor knowingly filed a false return to evade taxes.

Rigney v. United States (In Re Rigney) · filed 1997-07-31(a)(1)(C)

The IRS has claimed that the debt in question is nondischargeable under 11 U.S.C. § 523(a)(1)(C). ... Assuming, without deciding, that the IRS is correct that Mr. Rigney’s returns understated his income, it has still failed to meet its burden because the evidence does not show that Mr. Rigney intentionally misreported any items of income as part of a scheme to evade his taxes.

Section 523(a)(1)(B) excludes tax debts from discharge when a required return was not filed.

Palmer v. McMahon (In re Palmer) · filed 1997-08-12(a)(1)(B)

Specifically, § 523(a) provides that “[a] discharge under § 727 ... does not discharge an individual debtor from any debt for a tax ... with respect to which a return, if required was not filed.” Id. Therefore, the bankruptcy court could not have discharged Palmer’s tax liabilities.

Section 523(a)(1)(B)(ii) bars discharge of a tax debt when a late return is filed within two years before the bankruptcy petition; a late mailed return is filed when received.

Harrison v. United States Department of Internal Revenue (Harrison) · filed 1997-08-14(a)(1)(B)(ii)

Because it is undisputed that Harrison’s 1987 tax return was filed late, the “mailbox rule” does not apply. I therefore find that Harrison’s Form 1040 was filed on June 2, 1992, the date it was received by the ACS. ... Consequently, the tax return was filed less than two years before Harrison filed the Chapter 7 petition and so is not under the general rules dis-chargeable.

Section 523(a)(1)(B)(i) does not automatically exclude tax debt from discharge when a debtor files a return after the IRS assesses a deficiency; the filing may still qualify as a return.

In Re Hindenlang · filed 1997-09-10(a)(1)(B)(i)

The parties agree that the definition of "return" as that word is used in 11 U.S.C. § 523(a)(1)(B) is the one set forth in the Germantown Trust decision. In order to qualify as a return, a document must satisfy the following four criteria: (1) it must purport to be a return; (2) it must be executed under penalty of perjury; (3) it must contain sufficient data to allow calculation of tax; and (4) it must represent an honest and reasonable attempt to satisfy the requirements of the tax law. ... Appellant offers no support for such a broad conclusion, and this Court does not conclude that such a delayed filing will always fail to satisfy the fourth Germantown Trust criterion.

Section 523(a)(1)(B)(i) makes a tax debt nondischargeable when a 1040 filed after IRS assessment is not an honest and genuine attempt to satisfy the tax law.

In Re Mickens · filed 1997-09-22(a)(1)(B)(i)

Accordingly, the Court finds that the Bankruptcy Court did not err in holding that the 1040 forms filed by Debtor-Appellant were not "tax returns" for purposes of 11 U.S.C. § 523(a)(1)(B)(i), and that his tax debts are not dischargeable, pursuant to that provision.