11 U.S.C. § 523

Section 523(a)(1)(B) does not automatically exclude a tax return filed after IRS assessment; whether it qualifies depends on the circumstances, including the filing’s tax consequences and the debtor’s reasons for delay.

United States v. Klein · filed 2004-06-10(a)(1)(B)

The Honest and Reasonable Attempt prong may be satisfied under appropriate circumstances, notwithstanding that the debtor has filed a return post-assessment. ... Thus, in the context of post-assessment forms, circumstances such as the debtor’s delinquency in filing, in addition to the tax consequences of the belated filing, are relevant to a determination of whether the debtor satisfies the Honest and Reasonable Attempt prong.

Section 523(a)(1)(B) does not make tax debt nondischargeable solely because a debtor filed otherwise valid tax returns after the IRS assessed the tax.

Colsen v. United States (In Re Colsen) · filed 2004-06-25(a)(1)(B)

The government’s objection is based solely on the timing of the filing of the tax forms. Thus, the court finds as a matter of law that Colsen filed returns for the subject years within the meaning of § 523(a)(1)(B).

Section 523(a)(1)(C) requires proof of conduct aimed at evading tax and a voluntary, intentional violation of a known tax duty; mere nonpayment is insufficient.

Steinkrauss v. United States (In Re Steinkrauss) · filed 2004-07-08(a)(1)(C)

The cases all reflect the holding that mere nonpayment is insufficient and for the United States to prevail it must establish a conduct and a mental state.

A tax debt is not excepted from discharge under § 523(a)(1)(C) when the creditor fails to prove by a preponderance of the evidence that the debtor willfully attempted to evade or defeat the tax.

IRS v. Petersen (In Re Petersen) · filed 2004-07-20(a)(1)(C)

IRS has failed to prove by a preponderance of the evidence that Petersen willfully attempted to evade or defeat the tax obligation arising from the sale of farm ground. Its claim will be dismissed.

Section 523(a)(1)(C) excepts tax debt from discharge when a debtor knows of a duty to file returns and pay taxes and voluntarily and intentionally violates that duty.

Landi v. United States · filed 2004-09-09(a)(1)(C)

Thus, to establish the exception, the government must prove that the debtor (1) had a duty to file income tax returns and pay taxes; (2) knew he had such a duty; and (3) voluntarily and intentionally violated that duty.

Section 523(a)(1)(C) requires proof of both willfulness and affirmative acts to evade a tax before the tax debt is excepted from discharge.

O'Callaghan v. United States (In Re O'Callaghan) · filed 2004-09-14(a)(1)(C)

The IRS failed to satisfy its burden with respect to either of the two required elements under the second prong of § 523(a)(1)(C). First, the IRS did not show that the Debtor “willfully” violated his duty to pay the taxes. Second, the IRS did not show that the Debtor engaged in any “affirmative acts” designed to evade the collection of the taxes.

Section 523(a)(1)(C) excepts a tax debt from discharge if the debtor filed a fraudulent return or willfully attempted to evade or defeat the tax.

Sly v. United States · filed 2004-10-05(a)(1)(C)

Title 11, United States Code, Section 523(a)(1)(C) excepts from discharge any tax debt in which the debtor: (1) made a fraudulent tax return, or (2) willfully attempted in any manner to evade or defeat such tax. ... For the foregoing reasons, I conclude that the bankruptcy court did not clearly err in finding that Sly’s 1980, 1981, and 1982 tax obligations are excepted from discharge under the Bankruptcy Code.

Section 523(a)(1) excepts income tax liabilities from discharge when the return was due, including extensions, within three years before the bankruptcy filing or after it.

KLET v. COMMISSIONER · filed 2004-12-20(a)(1)

The 1992, 1993, and 1994 tax liabilities are nondischargeable because they relate to tax returns the due date of which, including extensions, was less than 3 years from the date the bankruptcy petition was filed. 11 U.S.C. secs. 523(a)(1) and 507(a)(8)(A). The 1995 tax liability is non- dischargeable because it relates to a tax return the due date of ... which, including extensions, was for a date after the date on which the bankruptcy petition was filed. Id.

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

Peterson v. United States (In Re Peterson) · filed 2004-11-09(a)(1)(C)

The government has established by a preponderance of the evidence that the Plaintiff willfully attempted to evade his tax liabilities for tax years 1992, 1993, 1996, 1997 and 1998. For the reasons discussed above, the Court finds that the Plaintiffs obligations for the tax years in issue are nondischargeable under section 523(a)(1)(c) of the Bankruptcy Code.

Section 523(a)(1)(B)(ii) excepts prepetition tax debt from discharge when a delinquent return is filed after the bankruptcy petition.

Savaria v. United States (In Re Savaria) · filed 2004-11-10(a)(1)(B)(ii)

We conclude that 11 U.S.C. § 523(a)(1)(B)(ii), which excepts tax debt from discharge when it is based on a late return filed “after two years before the date of the filing of the petition,” applies to postpetition filing of a late return for pre-petition taxes.

Section 523(a)(1)(B)(ii) excepts tax debts from discharge when a debtor files a required return late and within two years before bankruptcy; a joint income tax return can be required for this purpose even if the debtor’s individual income is below the filing threshold.

Carlin v. United States (In Re Carlin) · filed 2004-12-20(a)(1)(B)(ii)

By making this election, Margaret filed tax returns for a type of income tax that requires the filing of a tax return. The tax liabilities in question are entitled to priority classification pursuant to § 507(a)(8)(A)(i) and, hence, are not dis-chargeable as priority tax claims pursuant to § 523(a)(1)(A). Additionally, since the tax returns were filed within two years prior to the date of the filing of Margaret’s bankruptcy, the liabilities are not dis-chargeable pursuant to § 523(a) (1) (B) (ii) as late-filed returns.

Section 523(a)(1)(B)(ii) includes late tax returns filed after the bankruptcy petition because its two-year period extends beyond the petition date.

In Re Harrell · filed 2005-01-05(a)(1)(B)(ii)

In the instant case, the debts owed to DFA resulted from delinquent taxes. Returns for those taxes were filed August 4, 2003, which was after the date on which the returns were due under applicable law or under any extension. The returns were filed after June 10, 2001, which is the date that is two years before the petition date of June 10, 2003. Thus, subsection 523(a)(l)(B)(ii) applies to those taxes, and they are excluded from priority treatment under section 507(a) (8) (A) (iii).

Section 523(a)(1)(B)(i) does not automatically exclude a tax debt from discharge because the debtor filed a return after the IRS assessed the tax; the return can qualify if it represents an honest and reasonable attempt to satisfy the tax laws.

United States v. Payne (In re Payne) · filed 2005-02-07(a)(1)(B)(i)

Therefore, the bankruptcy court did not err in concluding that Payne’s 1986 Form 1040 constituted a “return” for purposes of Section 523(a)(1)(B), and consequently that his 1986 tax debt was properly discharged.

Section 523(a)(1)(C) does not except tax debt from discharge solely because a debtor could pay the tax and chose not to.

Jacobs v. United States (In Re Jacobs) · filed 2005-01-24(a)(1)(C)

However, the ability to pay one’s taxes and electing not to do so, by itself, does not constitute evasion.

Section 523(a)(14) excepts a debt from discharge when it was incurred to pay a tax owed to the United States that would otherwise have been nondischargeable under § 523(a)(1).

Ramey v. Barton (In re Barton) · filed 2005-02-11(a)(14)

As also set forth, § 523(a)(14) implements this policy by requiring the existence of two elements: (1) the debt was incurred to pay a tax owed to the United States; and (2) the tax owed to the United States would have otherwise been nondisehargeable under § 523(a)(1).

Section 523(a)(1) makes a responsible officer’s liability for unpaid withholding taxes, including post-petition interest, nondischargeable.

Tashjian v. Internal Revenue Service · filed 2005-03-14(a)(1)

Among the obligations that are not dischargeable are “responsible officer” liabilities for unpaid withholding taxes. 11 U.S.C. § 523(a)(1); ... Any post-petition interest that has accrued on such unpaid taxes is also nondischargeable.

Section 523(a)(1)(B)(i) treats a substitute return filed by the Treasury Secretary as a filed return, even if the debtor did not file one.

Ridgway v. United States (In Re Ridgway) · filed 2005-03-14(a)(1)(B)(i)

For the foregoing reasons this Court determines that the Treasury Secretary’s Substitute Returns are filed “returns” within the meaning of Bankruptcy Code Section 523(a)(1)(B).

Section 523(a)(1)(C) requires proof that a debtor knowingly and intentionally attempted to evade or defeat a tax.

Wargo v. United States (In Re Wargo) · filed 2005-03-18(a)(1)(C)

The Court finds the Debtors admitted act of signing the Hoyt prepared forms W4 containing increased exemptions in order to decrease their withholding amounts is not sufficient on its own to reflect an attempt to evade or defeat a tax under the circumstances of this case. This is especially true as the Court finds the record in this case is devoid of any evidence the Debtors intentionally ignored a known legal duty, or voluntarily, consciously or knowingly and intentionally attempted to evade or defeat the tax liability for tax years 1982 through 1995. Thus, the IRS failed to meet its burden with regard to the mental state requirement of § 523(a)(1)(C).

Section 523(a)(1)(C) excepts taxes and interest from discharge when the debtor files fraudulent returns or willfully attempts to evade the taxes.

United States v. Carey (In Re Carey) · filed 2005-04-25(a)(1)(C)

The undisputed evidence before this court is overwhelming that the Careys filed fraudulent returns for the years 1995 through 2000. Accordingly, the taxes and interest for those years are non-discharge-able under 11 U.S.C. § 523(a)(1)(C). The Careys’ conduct also satisfies the requirements for a wilful tax evasion, also non-dischargeable under section 523(a)(1)(C).

Section 523(a)(1)(B)(i) does not disqualify a tax return merely because it was filed after the IRS assessed the tax; the document must be assessed on its face as an honest and reasonable attempt to satisfy the tax law.

Colsen v. United States (In Re Colsen) · filed 2005-03-25(a)(1)(B)(i)

The 1040 Forms filed by the Debtor after the Internal Revenue Service had assessed the Debtor’s tax liabilities qualify as returns pursuant to Section 523(a)(l)(B)(i) of the Bankruptcy Code.

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

GRIFFEN v. COMMISSIONER · filed 2005-06-07(a)(1)(A)

The 1998 tax liability is, therefore, nondischargeable because it relates to a tax return the due date of which, including extensions, was within 3 years of the date the bankruptcy petition was filed.

Section 523(a)(1)(A) excepts an individual’s § 6672 employment tax debt from a Chapter 11 discharge.

United States v. White · filed 2005-05-02(a)(1)(A)

Viewing all evidence and factual inferences in the light most favorable to the government, the Court finds that defendant’s debt was nondischargeable. ... 11 U.S.C. § 523(a)(1)(A). Employment taxes pursuant to § 6672 are the kind of taxes found in §§ 507(a)(2) and (8)(C).

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

Harris v. United States (In Re Harris) · filed 2005-05-05(a)(1)(C)

The Court finds that the United States has met its burden with respect to the conduct requirement § 523(a)(1)(C) by showing debtor’s acts of omission and his affirmative acts to evade his taxes.

Section 523(a)(1)(B)(i) does not treat an IRS substitute return prepared without the debtor’s cooperation as a filed return, so the related tax debt is nondischargeable.

Hamer v. United States (In Re Hamer) · filed 2005-06-13(a)(1)(B)(i)

Accordingly, the Court finds that the 1995 and 1996 substitutes for returns prepared by the IRS were prepared pursuant to I.R.C. § 6020(b) and that same do not qualify as filed returns for purposes of § 523(a)(1)(B)®.

Section 523(a)(1)(A) excepts tax debt assessed within 240 days before the bankruptcy petition from discharge, regardless of whether a return was required.

Carlin v. United States (In Re Carlin) · filed 2005-07-26(a)(1)(A)

Having been assessed within the 240 day period, the Taxes are an unsecured claim entitled to priority under § 507(a)(8) (A) (ii), and as a result, they are nondischargeable under § 523(a)(1)(A).

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

Cole v. United States (In Re Cole) · filed 2005-08-05(a)(1)(C)

The totality of the circumstantial evidence compels the finding that such conduct was intentional and willful. Therefore, the debtor’s 1992 and 1993 tax obligations are excepted from discharge by 11 U.S.C. § 523(a)(1)(C).

Section 523(a)(1)(A) excepts from discharge tax debts of the kind specified in section 507(a)(8).

LOFTUS v. COMMISSIONER · filed 2005-11-09(a)(1)(A)

Section 523(a)(1)(A) of the United States Bankruptcy Code automatically excepted petitioner’s income tax liabilities from discharge because they were a tax of the kind specified in 11 U.S.C. section 507(a)(8).

Section 523(a)(1)(A) excepts from discharge taxes covered by § 507(a)(8), including taxes whose returns were due within three years before the bankruptcy filing.

United States v. Torres (In Re Torres) · filed 2005-12-16(a)(1)(A)

Section 523(a) of the Bankruptcy Code provides that some debts cannot be discharged, including any tax "of the kind and for the periods specified in section . . . 507(a)(8) of this title." ... Since the claims based on taxes owed from 1989 through 1992 fell within this "three-year lookback period," see Young, 535 U.S. at 46, they could not be discharged.

Section 523(a)(1)(C) excepts tax debt from discharge when a debtor willfully attempts to evade payment; culpable omissions can constitute evasion.

Klayman v. United States (In Re Klayman) · filed 2005-10-21(a)(1)(C)

Section 523(a)(1)(C) encompasses acts of culpable omission as well as acts of commission.

Section 523(a)(1)(C) excepts a tax debt from discharge when the debtor willfully attempts to evade the tax, including through a fraudulent bankruptcy filing aimed at avoiding collection.

United States v. Merrill · filed 2005-12-12(a)(1)(C)

The exceptions provided in § 523 of the Code to debt-discharge under § 727 must in fairness include any tax that the debtor willfully attempted in any manner to evade. The scope of this exception encompasses the conduct of defendant, who filed a fraudulent bankruptcy petition and now relies in part upon that filing as a basis for attempting to defeat his tax liability.

Section 523(a)(1) excepts qualifying priority income tax debts from discharge despite confirmation of an individual debtor’s Chapter 11 plan.

Followell v. United States (In Re Gurley) · filed 2005-11-07(a)(1)

The confirmation of a plan does not discharge an individual debtor from any debt excepted from discharge under § 523 of the Bankruptcy Code. ... Therefore, the 1996 tax liability was not only a priority claim, but also a nondischargeable obligation.

Section 523(a)(1)(C) requires proof that the debtor attempted to evade a tax and acted willfully; nonpayment alone is insufficient.

Mills v. United States (In re Mills) · filed 2005-11-17(a)(1)(C)

To defeat the discharge of the tax debt, the creditor must prove that the debtor willfully attempted to evade or defeat the tax, and that proof must contain both a “conduct” element, that the debtor has attempted in any manner to evade or defeat tax, and a “mental state” element, that he has acted willfully.

Section 523(a)(1)(B)(i) treats a late tax filing as no return when it is not an honest and reasonable effort to meet the taxpayer’s filing obligations.

United States v. Payne, John H. · filed 2005-12-14(a)(1)(B)(i)

Our conclusion that the return that Payne filed in 1992 was not a “return” for purposes of allowing him to dis- charge his tax liabilities in bankruptcy is consistent with all the appellate decisions (Moroney, Hatton, and Hindenlang) that deal with untimely tax returns brandished in the bankruptcy court in an effort to obtain a discharge.

Section 523(a)(1)(C) permits consideration of any of a debtor’s conduct when deciding whether the debtor willfully attempted to evade or defeat tax obligations.

Claxton v. United States (In Re Claxton) · filed 2006-01-09(a)(1)(C)

The language of 11 U.S.C. § 523(a)(1)(C) includes whether the debtor attempted to evade or defeat such tax obligations “in any manner.” Thus, any of Claxton’s conduct may be considered in determining whether he evaded or defeated his tax obligations.

Under the version of § 523(a)(1)(B)(i) applicable here, a state requirement to report a federal tax adjustment does not itself require an amended return, so failure to report does not make the tax debt nondischargeable.

Dahmer v. United States (In Re Dahmer) · filed 2006-01-23(a)(1)(B)(i)

Because the Court finds that 12 CSR 10-2.105 was not triggered by the facts in evidence in this case, and that the phrase “shall report” contained in Mo.Ann. Stat. § 143.601 is not the equivalent of a requirement to file an amended tax return, Plaintiffs did not fail to file a required return under § 523(a)(1)(B)© and therefore their debt to the MDOR for the 1987 tax year is dischargeable pursuant to § 523(a)(1).

Section 523(a)(1)(C) excepts a tax debt from discharge when the debtor filed a fraudulent return; a later amended return does not cure the original fraud.

Fliss v. Iowa Department of Revenue (In Re Fliss) · filed 2006-03-08(a)(1)(C)

This court believes the analysis in Badaracco should apply to the term “fraudulent return” in § 523(a)(1)(C) of the Bankruptcy Code. Fliss’s subsequent conduct did not rid the original returns of fraud.

Section 523(a)(1)(B)(i) excepts a tax debt from discharge when the debtor was required to file a return but did not file one.

Woods v. Comm'r · filed 2006-03-09(a)(1)(B)(i)

Accordingly, we hold that petitioner did not file returns for the 1996 and 1997 taxable years, and, therefore, his tax liabilities for those two years are excepted from discharge under 11 U.S.C. section 523(a)(1)(B)(i).

Section 523(a)(1)(B)(i) excepts tax debt from discharge when a debtor’s post-assessment filing is not an honest and reasonable attempt to comply with tax law, even if the IRS uses it to reduce the assessment.

In Re Izzo · filed 2006-03-30(a)(1)(B)(i)

Because Debtor filed no such "returns" for the tax years at issue, his tax liabilities for these years are excepted from discharge under 11 U.S.C. § 523(a)(1)(B)(i).

Section 523(a)(1)(B)(ii) excepts a tax debt from discharge when the return was filed after its due date and after two years before the bankruptcy petition.

Sapp v. Comm'r · filed 2006-05-15(a)(1)(B)(ii)

The 1992 liability was not dischargeable because petitioner's 1992 return was filed on June 10, 1994, which was after its extended due date (August 15, 1993), and after 2 years ... before the August 2, 1993, filing of his bankruptcy petition.

Under § 523(a)(1)(B)(i), whether a tax form shows an honest and genuine attempt to satisfy the tax laws is judged from the form's face, not the filer's lateness or subjective intent.

Colsen v. United States · filed 2006-05-04(a)(1)(B)(i)

We therefore hold that the honesty and genuineness of the filer's attempt to satisfy the tax laws should be determined from the face of the form itself, not from the filer's delinquency or the reasons for it.

Section 523(a)(1)(A) excepts from discharge trust fund payroll tax debts, including penalties owed by a responsible person under 26 U.S.C. § 6672.

Paris v. United States (In Re Paris) · filed 2006-06-13(a)(1)(A)

2. Plaintiffs liability for the penalties assessed against him pursuant to § 6672 of the Internal Revenue Code for the periods ending June 30, 2000 through December 31, 2002 is excepted from discharge pursuant to 11 U.S.C. § 523(a)(1)(A).

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

Zimmerman v. United States (In re Zimmerman) · filed 2006-08-08(a)(1)(C)

Consequently, I conclude that Appellant’s unpaid tax liabilities for years 1977, 1978 and 1979 are non-dischargeable pursuant to 11 U.S.C. § 523(a)(1)(C).

Section 523(a)(1)(C) bars discharge of a tax debt when the debtor willfully attempts to evade or defeat the tax; the government must prove willful evasion by a preponderance of the evidence.

Rhodes v. United States · filed 2006-09-14(a)(1)(C)

The government has failed to establish by a preponderance of the evidence that Plaintiff engaged in affirmative acts constituting a willful attempt to evade or defeat payment of taxes pursuant to 11 U.S.C. § 523(a)(1)(C).

Section 523(a)(1) excepts assessed trust fund tax liabilities from discharge when they fall under section 507(a)(8).

Robertson v. Internal Revenue Service of the United States (In Re Robertson) · filed 2006-09-25(a)(1)

The assessments on July 25, 2005 of $32,116.00 and $70,047.50 for the third and fourth quarter 2003 941 taxes are non-dischargeable under 11 U.S.C. § 523(a)(1) and 11 U.S.C. § 507(a)(8).

Section 523(a)(1)(A) does not except a tax debt from chapter 12 discharge to the extent § 1222(a)(2)(A) permits the debtor to treat it as an unsecured claim.

In Re Knudsen · filed 2006-11-20(a)(1)(A)

The exception for debts of the kind specified in § 523(a)(1)(A) is, therefore, not applicable. Because of § 1222(a)(2)(A) treatment, a portion of the IRS’s prepetition priority claim is not, for confirmation purposes, a debt of a kind specified in § 507(a)(8).

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

Hamm v. United States · filed 2006-11-22(a)(1)(C)

Rather, Dr. and Mrs. Hamm’s tax liabilities are excepted from discharge under the second prong of § 523(a)(1)(C) because they willfully attempted to evade or defeat their taxes.

Section 523(a)(1) left these taxes nondischargeable because they came due within three years before the bankruptcy petition.

City of Philadelphia v. Carpino · filed 2006-12-27(a)(1)(A), (a)(1)(B)(ii)

The taxes sought to be collected by the City in its complaint came due within three years of the filing of Carpino’s bankruptcy petition and, thus, were not dischargeable under Section 523(a)(1)(A) or 523(a)(1)(B)(ii) of the Bankruptcy Code.

Section 523(a)(1)(B) excepts tax debts from discharge when the debtor’s submissions do not qualify as returns because they were not an honest and reasonable attempt to comply with tax law.

In re Henne · filed 2007-01-08(a)(1)(B)

Because the Debtor’s Forms 1040 filed in 1998 for tax years 1992 through 1995 do not constitute returns for purposes of 11 U.S.C. § 523(a)(1)(B), the Debtor’s tax liabilities for those years were excepted from discharge in his Chapter 7 case.

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

Pisko v. United States (In Re Pisko) · filed 2007-02-08(a)(1)(C)

The Court finds that the IRS has not shown that the Debtor’s avoidance of his tax obligations was “willful” within the meaning of § 523(a)(1)(C). Based on the Debtor’s efforts to make partial payments and his inability to pay a meaningful amount of the total liability, among other factors, the Court finds that the Debtor did not deliberately evade payment of the taxes. Additionally, the Court finds that the Debtor did not engage in “conduct” evidencing his attempt to evade or defeat the taxes. Although the Debtor admittedly filed late returns for the years in question, and also allowed his wife to receive the proceeds from the sale of their jointly-owned home, the Debtor provided explanations of these actions which demonstrated that they were not calculated to avoid the tax obligations. The Debtor’s tax liabilities for 1998, 1999, 2000, and 2001 are not excepted from dischargeability pursuant to § 523(a)(1)(C) of the Bankruptcy Code.

Section 523(a)(1)(C) does not make a tax debt nondischargeable merely because a debtor's belief that income was excludable proves wrong.

Jones v. United States (In Re Jones) · filed 2007-02-14(a)(1)(C)

The Tax Return was not fraudulent simply because the Debtors’ belief regarding the excludability of the income ultimately proved to be wrong.

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

Lacheen v. Internal Revenue Service (In Re Lacheen) · filed 2007-03-20(a)(1)(C)

For the reasons stated above, I conclude that Jerome Lacheem has not satisfied his burden to prove that he did not willfully attempt to evade the payment of their 1995 and 1996 federal income taxes. Likewise I find that Ann Lacheen has not satisfied her burden to prove that she did not willfully attempt to evade the payment of their 1996 federal income taxes. Accordingly these tax obligations are excepted pursuant to 11 U.S.C. § 523(a)(1)(C) from the discharge otherwise granted in this Chapter 7 case.

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

United States v. Harrison (In Re Harrison) · filed 2007-04-30(a)(1)(C)

For the reasons stated in the Court’s summary judgment ruling, the United States is entitled to a final judgment that Harrison’s 1990, 1991, 1993, 1995, and 1996 federal income tax liability is non-dischargeable under 11 U.S.C. § 523(a)(1)(C), due to Harrison’s willful attempts to evade or defeat his taxes.

Section 523(a)(1)(A) excepts tax debts from discharge when the taxes remain assessable after the bankruptcy filing under § 507(a)(8)(A)(iii).

Martinez v. United States (In Re Martinez) · filed 2007-04-13(a)(1)(A)

Therefore, the court holds that the taxes for the tax years 1990 through 1993 are non-dischargeable pursuant to § 523(a)(1)(A) and § 507(a)(8)(A)(iii) of the Bankruptcy Code.

Section 523(a)(1)(A) excepts income tax debt from discharge when the return was due, including extensions, within the three calendar years before the bankruptcy filing.

Elkins v. Internal Revenue Service (In Re Elkins) · filed 2007-05-29(a)(1)(A)

Therefore, the IRS’s claim for Elkins’s 2001 tax liability is non-dischargeable under §§ 507(a)(8)(A)® and 523(a)(1)(A).

Section 523(a)(1)(C) excepts tax debt from discharge when a debtor willfully attempts to evade payment; placing an asset in a family member’s name to prevent tax liens from attaching qualifies as an affirmative act of evasion.

United States v. Jacobs (In Re Jacobs) · filed 2007-06-29(a)(1)(C)

Placing title to significant assets in the names of family members, while remaining on the mortgage, qualifies as an affirmative act to evade or defeat tax payments under § 523(a)(1)(C).

Section 523(a)(1)(A) excepts priority income tax debts from discharge when the return was due, including extensions, within three years before the bankruptcy petition.

Severo v. Comm'r · filed 2007-11-15(a)(1)(A)

However, where the Federal income tax return in question was due within the 3-year lookback period before the bankruptcy was filed, the tax for the year clearly qualifies under Bankruptcy Code section 507(a)(7)(A)(i) as a priority claim and correspondingly clearly qualifies under Bankruptcy Code section 523(a)(1)(A) for exception from discharge.

Section 523(a)(1)(C) excepts tax debt from discharge when the debtor files a fraudulent return or willfully evades payment or collection.

United States v. Krause (In Re Krause) · filed 2008-04-21(a)(1)(C)

Judgment should be entered in favor of the Government on its claim under 11 U.S.C. § 523(a)(1)(C). Gary’s tax debt attributable to tax years 1994 and 1995 is excepted from his discharge as a fraudulent return and the entirety of Gary’s tax debt is excepted from his discharge as a willful evasion.

Section 523(a)(1)(B) excepts tax debts from discharge when late-filed Form 1040s do not qualify as returns under § 523(a)’s definition.

Creekmore v. Internal Revenue Service (In Re Creekmore) · filed 2008-05-30(a)(1)(B)

Creekmore did not utilize the procedure available through § 6020(a) of the Internal Revenue Code for either year. Consequently, since Creekmore’s bankruptcy case was filed after the effective date of BAPCPA, this court has no choice but to find that his 1040 returns do not qualify under the currently articulated definition of “return.” As such, Creekmore’s 1994 and 1995 taxes are non-dischargeable debts.

Section 523(a)(7)(B) discharges a tax penalty when the failure to file a timely return that gave rise to it occurred more than three years before the bankruptcy petition.

Wilson v. United States (In Re WILSON) · filed 2008-07-30(a)(7)(B)

Thus, under the Tenth Circuit’s Roberts opinion, the events giving rise to penalties asserted for tax years 1997, 1998, and 1999 were Wilson’s failure to file timely returns, rendering the penalties dischargeable under § 523(a)(7)(B).

Section 523(a)(1)(A), read with § 507(a)(8), excepts income tax debt from discharge when equitable tolling leaves less than three years between the tax return and the bankruptcy petition.

Distad v. United States (In Re Distad) · filed 2008-08-08(a)(1)(A)

Pursuant to § 507(a)(8), when read in conjunction with § 523(a)(1)(A), a debt- or’s income taxes may be discharged in a bankruptcy if a period of three years has run between the date of filing of a debtor’s income tax return and the petition date of debtor’s bankruptcy. This Three Year Lookback Period may be equitably tolled if the debtor filed bankruptcy and enjoyed the protections of the automatic stay at any time within the Three Year Lookback Period.

Section 523(a)(1)(A) excepts trust fund tax debts described by § 507(a)(8)(C) from discharge.

Kohl v. IRS (In Re Kohl) · filed 2008-08-19(a)(1)(A)

Pursuant to 11 U.S.C. § 507(a)(8)(C) and § 523(a)(1)(A) this type of debt is a nondischargeable obligation, a fact which the Debtors do not contest.

Section 523(a)(1)(C) excepts tax debts arising from fraudulent returns from discharge; the IRS need not object in bankruptcy court and may prove the exception in later collection proceedings.

Console v. Commissioner, IRS · filed 2008-08-25(a)(1)(C)

The exception for tax fraud, § 523(a)(1)(C), is not among those listed in § 523(c). Hence, the IRS need not appear and object in the bankruptcy court to be excepted from the discharge under § 523(a)(1)(C). Instead, the IRS may wait until the bankruptcy discharge is invoked as a defense to its collection efforts, and then prove a factual basis for the tax fraud exception in the collection proceedings, as it has done here.

Section 523(a)(7)(B) does not make an FBAR penalty dischargeable as a tax penalty when no tax underlies it.

United States v. Simonelli · filed 2008-09-30(a)(7)(B)

Because there is no tax underlying the FBAR penalty, the FBAR penalty cannot be considered a “tax penalty.”

Section 523(a)(1)(A) excepts from discharge a credit card debt incurred to pay a priority property tax.

Target National Bank v. Redmond (In Re Redmond) · filed 2008-11-26(a)(1)(A)

The court finds, therefore, that this charge on the Bank’s credit card account was made in payment of a property tax that is entitled to priority treatment and that falls within the scope of debts excepted from discharge under § 523(a)(1)(A).

Section 523(a)(1)(A) excepts priority income tax debts from discharge even if the IRS does not object in the bankruptcy proceeding.

Okula v. Comm'r · filed 2009-01-28(a)(1)(A)

This issue has been considered by this Court, and we have held that the Commissioner’s failure to take action in the bankruptcy proceeding does not, per se, affect the statutory priority afforded to tax debts. Therefore, if a tax liability satisfies the conditions set forth in 11 U.S.C. sec. 523(a)(1), it is not protected by the general discharge received by a taxpayer in his prior bankruptcy case.

Section 523(a)(1)(B) excepts a tax debt from discharge when a required return was unfiled or filed late within two years before bankruptcy, even if another entity had to file it, so long as the debtor is liable for the debt.

In RE McADAM · filed 2009-01-16(a)(1)(B)

Thus, it is immaterial that the taxes were originally owed and the return was due by IPBMC. As such, the Past-Due Contributions are nondischargeable under section 523(a)(1)(B).

Section 523(a)(1)(A) excepts from discharge taxes still assessable when the bankruptcy petition is filed, including taxes involved in a pending tax court case.

United States v. Martinez (In Re Martinez) · filed 2009-04-03(a)(1)(A)

The bankruptcy court held, and we agree, that these non- dischargeable tax debts include taxes that are still assessable after the commencement of the bankruptcy petition, including those taxes for which a tax ... court case was pending at the time of the bankruptcy filing.

Section 523(a)(1)(A) excludes income tax debts from discharge when the returns were due within three years before the bankruptcy petition.

Clayton v. Comm'r · filed 2009-05-26(a)(1)(A)

Therefore, under the terms of 11 U.S.C. section 523(a)(1)(A), the tax on that year’s return could only be discharged in a bankruptcy proceeding opened no earlier than April 15, 2004.

Section 523(a)(7)(B) treats the filing of a frivolous tax return as the relevant event, so a penalty for a return filed within three years before bankruptcy is excepted from discharge.

Wilson v. United States (In Re Wilson) · filed 2009-06-12(a)(7)(B)

It is the act of filing the return that constitutes the “event or transaction” under § 523(a)(7)(B).

Section 523(a)(1)(C) excepts a tax debt from discharge when the debtor knowingly and deliberately acts to evade payment of the tax.

Carroll v. United States, Department of the Treasury · filed 2009-05-06(a)(1)(C)

For the foregoing reasons, this court concludes that appellant is personally liable for the outstanding tax debt owed to the United States by the estate of George Carroll, and that the debt falls within the scope of 11 U.S.C. § 523(a)(1)(C). As a consequence, the debt owed to the United States is not dischargeable in bankruptcy.

Section 523(a)(1)(C) prevents discharge of a tax debt when the debtor knowingly and deliberately attempts to evade the tax.

Geiger v. Internal Revenue Service (In Re Geiger) · filed 2009-06-15(a)(1)(C)

There is simply nothing in this record that would suggest that Geiger’s failure to timely file his tax returns for the years in question or to make any attempt to pay the past due amounts for these years despite his substantial income was anything other than a knowing and deliberate decision on his part. The record is devoid of evidence suggesting that this conduct was simply an unknowing mistake or inadvertence as would be required to properly avoid the exception to discharge-ability under § 523(a)(1)(C).

Section 523(a)(14) makes a debt incurred to pay nondischargeable federal withholding taxes nondischargeable when the debtor is liable for those taxes, even without a personal IRS assessment.

American Express Bank, FSB v. Cook (In Re Cook) · filed 2009-08-28(a)(14)

There is nothing in the Bankruptcy Code which requires that the IRS must have made an assessment against the responsible official before the exception to dischargeability is triggered.

Section 523(a)(1)(C) excepts tax debts from discharge when a debtor knowingly and deliberately fails to file returns and pay the taxes.

Long v. United States (In Re Long) · filed 2009-09-18(a)(1)(C)

Accordingly, the Court finds that Long’s 1999, 2000, and 2001 federal income tax liabilities are excepted from his discharge pursuant to § 523(a)(1)(C).

Section 523(a)(1)(A) excepts qualifying tax debts from discharge even when the late-return exception in Section 523(a)(1)(B)(ii) does not apply.

Severo v. Commissioner · filed 2009-11-20(a)(1)(A)

However, just because they do not fall within the Section 523(a)(1)(B)(ii) exception does not preclude falling within the Section 523(a)(1)(A) exception.

Section 523(a)(1)(A) makes a qualifying priority tax debt nondischargeable even when the debt does not meet the separate late-return exception in (a)(1)(B)(ii).

Severo v. Cir · filed 2009-11-20(a)(1)(A)

Section 523(a)(1)’s exceptions are phrased in the disjunctive, and the Tax Court therefore correctly held that the Severos’ 1990 tax liability was not discharged.

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

Ryals v. United States (In Re Ryals) · filed 2009-11-12(a)(1)(C)

The doctrine of collateral estoppel precludes Ryals from relitigating whether he willfully evaded his 1978 federal income tax liability. Ryals’ 1978 income tax liability is excepted from his discharge pursuant to 11 U.S.C. § 523(a)(1)(C).

Section 523(a)(1)(B) can prevent discharge of a tax debt when a debtor fails to give a required report of increased federal taxable income, even if that report is not a tax return.

MARYLAND, COMPTROLLER OF MARYLAND v. Ciotti · filed 2009-12-16(a)(1)(B)

First, to equate “return” and “equivalent report or notice” would render redundant the latter phrase that was expressly added by Congress to Section 523(a)(1) when enacted BAPCPA. If a report or notice itself meets the definition of “return,” it would already be covered by the words “a return” that immediately precede the phrase “or equivalent report or notice” and that were contained in Section 523(a)(1) before the BAPCPA amendments. Second, the inclusion of the words “or given” in the BAPCPA amendments supports the view that something less formal than a “return” was contemplated by the amendments since “returns” are filed, not given.

Section 523(a)(14) excepts from discharge the portion of a loan used to pay nondischargeable federal taxes.

Fry v. Dinan (In Re Dinan) · filed 2010-03-01(a)(14)

Stipulated Facts 10 and 11 concede Dinans wrote checks to the IRS on October 30, 2003 for $62,506.08 and $44,495.24, totaling $107,001.32. Under § 523(a)(14), that sum is non-dis-chargeable to Fry.

Section 523 makes trust fund recovery penalties imposed under Internal Revenue Code section 6672 nondischargeable.

Barry v. Comm'r · filed 2010-03-24

Section 6672 TFRP are therefore nondischargeable under 11 U.S.C. section 523.

Section 523(a)(1)(A) excepts sales taxes from discharge when they qualify for priority under § 507(a)(8)(C), even if the debtor failed to collect them.

Szostek v. Texas State Comptroller of Public Accounts (In Re Szostek) · filed 2010-03-29(a)(1)(A)

Therefore, the Tax Liability is a tax “required to be collected or withheld” and so is a tax of a kind described in § 507(a)(8)(C). As such, the Category 1 Taxes are not dischargeable under § 523(a)(1) even if the Debtors’ contention that the taxes were “uncollected” were accepted.

Section 523(a)(1)(A) makes Section 6672 penalty taxes nondischargeable.

Rowland v. United States Department of Treasury (In Re Rowland) · filed 2010-04-01(a)(1)(A)

Section 6672 penalty taxes are nondischargeable under 11 U.S.C. § 523(a)(1)(A).

Section 523(a)(1) excepts from discharge a retailer’s liability for uncollected Texas sales taxes covered by the tax priority provisions.

Szostek v. Texas Comptroller of Public Accounts (In Re Szostek) · filed 2010-06-15(a)(1)

Ultimately, the court finds that the Debtors, as retailers, can be held liable by the state of Texas for the Category 2 Taxes. Consequently, the Category 2 Taxes are nondischargeable pursuant to §§ 523(a)(1) and 507(a)(8).

Section 523(a)(1)(A) excepts income taxes assessed within 240 days before a bankruptcy filing from discharge.

Maali v. United States (Maali) · filed 2010-07-16(a)(1)(A)

The bankruptcy court properly concluded that the IRS made assessments against Ms. Maali on August 6, 2007, and August 20, 2007. Thus, those tax obligations were of the type included in § 507(a)(8)(A) and, therefore, were nondischargeable pursuant to § 523(a)(1)(A).

Section 523(a)(1)(B) excepts taxes from discharge when a required return was not filed or was filed late within two years before the bankruptcy petition.

United States v. Black · filed 2010-07-16(a)(1)(B)

Pursuant to 11 U.S.C. § 523(a)(1) provides that taxes are non-dischargeable where a return, if required was either (i) not filed, or (ii) filed late and “after two years before the date of the filing of the bankruptcy petition.” All of the taxes at issue in this case fall under one of these two exceptions.

Section 523(a)(1)(A), together with § 507(a)(8)(C), makes a debtor’s liability for a § 6672(a) tax penalty nondischargeable.

Swain v. United States Department of Treasury (In Re Swain) · filed 2010-09-27(a)(1)(A)

The nondischargeability of any § 6672(a) debt is clearly established by the combination of two sections of the Bankruptcy Code — 11 U.S.C. §§ 523(a)(1)(A) and 507(a)(8)(C).

Section 523(a)(1)(C) requires proof of both conduct and mental state to except a tax debt from discharge.

United States v. Beninati · filed 2010-08-09(a)(1)(C)

The government has met its burden of proof with respect to both the conduct and mental state requirements of 11 U.S.C. § 523(a)(1)(C).

Section 523(a)(1)(C) excepts a tax debt from discharge when a debtor willfully attempts to evade or defeat the tax, even if the debtor filed returns and paid the amounts reported on them.

Bryen v. United States (In Re Bryen) · filed 2010-08-13(a)(1)(C)

Given all of these circumstances, I conclude that the IRS has met its burden of establishing by a preponderance of the evidence that the Debtor willfully attempted to evade or defeat his tax liability. Therefore, the debt the Debtor owes for outstanding federal income taxes for the 1980 and 1982 through 1988 tax years is excepted from discharge pursuant to 11 U.S.C. § 523(a)(1)(C).

Section 523(a)(7)(B) does not discharge interest on a nondischargeable tax debt as though it were a tax penalty.

Leathley v. Comm'r · filed 2010-09-07(a)(7)(B)

The mere fact that courts have discussed interest being afforded the same treatment as a penalty for priority purposes under 11 U.S.C. section 507 does not provide a basis for treating it the same under 11 U.S.C. section 523.

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

Bisch v. Missouri Department of Revenue (In Re Bisch) · filed 2010-09-29(a)(1)(A)

IT IS ORDERED THAT Debtors’ Complaint to Obtain Discharge of Back Taxes Due to the Missouri Department of Revenue is DENIED and that the debt owed by Debtors to the Missouri Department of Revenue for the 2004 Missouri income taxes and the debt owed by Debtors to the Missouri Department of Revenue for the 2005 Missouri income taxes are NONDIS-CHARGEABLE pursuant to 11 U.S.C. § 523(a)(1)(A) and 11 U.S.C. § 507(a)(8)(A)(ii) in this Bankruptcy case; and this is the final judgment and Order of the Bankruptcy Court in this case.

Section 523(a)(1)(A) excepts a federal income tax debt from discharge when the return was due, including extensions, within three years before the bankruptcy petition, regardless of when it was filed.

Bisch v. Internal Revenue Service (In Re Bisch) · filed 2010-09-29(a)(1)(A)

A federal tax debt is excepted from discharge where the tax return was due within three years of the date the bankruptcy petition was filed, regardless of the date the return was actually filed.

Section 523(a)(1)(A) excepts a tax debt from a Chapter 7 discharge when the tax was unassessed but still assessable at filing, even if the IRS filed no proof of claim.

Colvin v. Comm'r · filed 2010-10-26(a)(1)(A)

a debtor from liability for delinquent income tax that was unassessed at the time the debtor filed for bankruptcy but still assessable by law, regardless of whether the IRS filed a claim in the debtor’s bankruptcy case.

Section 523(a)(1)(A) excepts trust fund recovery penalty taxes assessed under 26 U.S.C. § 6672(a) from discharge because they are priority tax debts under Section 507(a)(8)(C).

Goins v. Department of Treasury Internal Service (In Re Goins) · filed 2010-10-04(a)(1)(A)

The TFRP Taxes were assessed against Debtor pursuant to 26 U.S.C. Section 6672(a) and are therefore within the purview of Section 507(a)(8)(C) and are thus excepted from discharge pursuant to 11 U.S.C. Section 523(a).

Section 523(a)(1)(C) can except tax debts from discharge when a debtor willfully attempts to evade them.

United States v. Mitchell (In Re Mitchell) · filed 2011-02-24(a)(1)(C)

Accordingly, we REVERSE the decision of the district court and hold that Mitchell’s tax debts for 1998 to 2002 fall within the scope of the § 523(a)(1)(C) exception, and therefore, such tax debts are not dischargeable in bankruptcy.

Section 523(a)(1)(B) excepts a tax debt from discharge when the debtor fails to file a required report of a federal tax adjustment with the state tax authority.

State of Maryland v. Ciotti · filed 2011-03-08(a)(1)(B)

We conclude that the district court did just that in ruling that § 523(a)(1)(B) excepted Ciotti’s Maryland tax debt from discharge.

Section 523(a)(1)(C) excepts tax debt from discharge when a debtor makes unnecessary expenditures while knowingly failing to pay the tax.

Hawkins v. Franchise Tax Board · filed 2011-03-22(a)(1)(C)

Following the reasoning of other courts that have addressed the issue, the Court adopts this standard and affirms the bankruptcy court’s conclusion that unnecessary expenditures combined with nonpayment of a known tax constitutes a willful attempt under Section 523(a)(1)(C).

Section 523(a) treats a late-filed state income tax return that fails applicable filing requirements as insufficient for dischargeability.

Weiland v. Mississippi (In re Weiland) · filed 2011-05-11(a)(1)(B)(ii)

That part of the debt for the 2005 tax year is non-dischargeable pursuant to § 523(a)(l)(B)(ii), and the last unnumbered paragraph of § 523(a) for the filing of an untimely return.

Section 523(a)(1)(B) makes tax debts nondischargeable when late-filed state income tax returns fail the applicable filing requirements and therefore do not qualify as returns.

Brown v. Mississippi Department of Revenue (In re Brown) · filed 2011-06-01(a)(1)(B)

As acknowledged in the statement of undisputed facts, these two returns were not timely filed pursuant to applicable non-bankruptcy law, including applicable filing requirements. As such, they are not considered as returns and the underlying tax liabilities are non-dischargeable pursuant to 11 U.S.C. § 523(a)(1)(B).

Section 523(a)(1)(C) excepts tax debt from discharge when the government proves that the debtor voluntarily and intentionally evaded a known duty to pay; nonpayment alone does not suffice.

United States v. Storey · filed 2011-05-16(a)(1)(C)

Non-dischargeability under 523(a)(1)(C) requires a “voluntary, conscious, and intentional evasion.” ... The government must prove that the debtor 1) had a duty to pay taxes, 2) knew she had a duty, and 3) voluntarily and intentionally violated that duty.

Section 523(a)(14) requires proof that a debt was incurred to pay a tax actually owed to the United States that would otherwise be nondischargeable.

Chase Bank USA, N.A. v. Mueller (In Re Mueller) · filed 2011-07-06(a)(14)

To establish a claim under § 523(a)(14), the plaintiff must establish, at minimum, that there was a “tax owed” by the defendant that the plaintiff paid.

Sections 523(a)(14) and (a)(14A) except a debt incurred to pay taxes from discharge only if the debtor’s own tax liability would have been nondischargeable under § 523(a)(1).

DDC & Associates v. White (In Re White) · filed 2011-08-16(a)(14), (a)(14A)

The court determines that whatever was paid by DDC or Watson with respect to corporate tax obligations of New Era of Educational Development, Inc. does not constitute a “debt incurred to pay a tax to the United States that would be nondis-chargeable pursuant to [11 U.S.C. § 523(a)(1) ]”, or a “debt incurred to pay a tax to a governmental unit other than the United States, that would be nondis-chargeable under [11 U.S.C. § 523(a)(1) ]”, with respect to White. The debt asserted by the plaintiffs against White in this adversary proceeding is not excepted from discharge.

Section 523(a)(1)(C) does not except a tax debt from discharge when the debtor's conduct amounts only to a failure to pay, without an attempt to evade or defeat the tax.

Kight v. Department of Treasury/Internal Revenue Service (In Re Kight) · filed 2011-09-20(a)(1)(C)

Because Plaintiffs did not attempt in any manner to evade or defeat their 2000 tax liability, it is not excepted from their 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 willfully attempts to evade or defeat it; the government must prove affirmative evasive conduct and willfulness by a preponderance of the evidence.

Lindros v. United States (In Re Lindros) · filed 2011-11-02(a)(1)(C)

In light of these facts, and for the reasons set forth below, the Government failed to prove by a preponderance of the evidence that the Plaintiff voluntarily, consciously or knowingly, and intentionally engaged in affirmative acts to avoid the payment or collection of taxes. Accordingly, the Court will enter final judgment in favor of the Plaintiff determining that his 2000 tax liability is dis-chargeable.

Sections 523(a)(14) and (a)(14A) except debts incurred to pay otherwise nondischargeable federal or other governmental-unit taxes from discharge, including a contingent guaranty of funds borrowed to pay payroll taxes for which the debtor would have been personally liable.

In Re Vandynhoven · filed 2011-11-03(a)(14), (a)(14A)

This Court finds such reasoning unpersuasive and contrary to the purpose of the exceptions to discharge under 11 U.S.C. § 523(a)(14) and (14A). ... Similarly, the "contingent" guarantee of the Action Electric debt to the bank by the debtor, makes him liable to the bank for a nondischargeable debt to the extent of taxes paid on his behalf. ... Therefore, the entire $101,432.98 is excepted from the debtor's discharge.

Section 523(a)(1)(C) bars discharge when a debtor willfully attempts to evade a tax, even if the tax has not yet been assessed.

Bryen v. United States · filed 2011-11-04(a)(1)(C)

However, Section 523 only references taxes, not assessed taxes and a delay in enforcement cannot mean that a taxpayer, aware that he owed the IRS a substantial sum, can never have the requisite intent to evade.

Section 523(a)(1)(C) allows a creditor to pursue a willful tax evasion exception after a general bankruptcy discharge, even if the creditor did not litigate dischargeability in bankruptcy court.

United States v. Clayton · filed 2011-12-13(a)(1)(C)

Consequently, unless the debtor or Government elects to litigate the nondischargeability of a debt under § 523(a)(1)(C) in the bankruptcy court, the claim survives the bankruptcy, is unaffected by the discharge, and may be brought later in another court.

Section 523(a)(1)(C) excepts a tax debt from discharge if the debtor made a fraudulent return or willfully attempted to evade the tax.

Vaughn v. United States (In re Vaughn) · filed 2011-12-28(a)(1)(C)

This subsection, to be read in the disjunctive, thus contains two separate exceptions to discharge: 1) for making a fraudulent return; and 2) for willfully attempting to defeat and evade tax.

Section 523(a) excludes a late-filed state income tax return from the definition of “return” for discharge purposes unless it qualifies under a safe harbor similar to § 6020(a).

McCoy v. Mississippi State Tax Cmsn · filed 2012-01-04(a)(*)

In light of all these considerations, we adopt the reading of § 523(a)(*) suggested by MSTC and the bankruptcy courts: Unless it is filed under a “safe harbor” provision similar to § 6020(a), a state income tax return that is filed late under the applicable nonbankruptcy state law is not a “return” for bankruptcy discharge purposes under § 523(a).

Section 523(a) excludes a late-filed state income tax return from the definition of “return” for discharge purposes unless it qualifies under a safe harbor similar to Internal Revenue Code § 6020(a).

McCoy v. Mississippi State Tax Cmsn · filed 2012-01-25(a)(*)

Unless it is filed under a “safe harbor” provision similar to § 6020(a), a state income tax return that is filed late under the applicable nonbankruptcy state law is not a “return” for bankruptcy discharge purposes under § 523(a).

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

Colvin v. Cir · filed 2012-02-09(a)(1)(A)

The Tax Court correctly concluded that pursuant to 11 U.S.C. § 523(a)(1)(A), Colvin’s tax debt was not discharged in his bankruptcy proceeding.

Section 523(a)(14) and (14A) require the debt to have been incurred for the purpose of paying taxes; tracing tax payments through a business account is insufficient.

Van Dyn Hoven v. Bank of Kaukauna · filed 2012-05-11(a)(14), (a)(14A)

The phrase “incurred to pay a tax” as used in section 523(a)(14) and (14A) means that the debt was incurred “for the purpose of paying Federal or state taxes.”

Section 523(a)(1)(B) excepts tax debts from discharge when the debtor failed to file a return or filed a late return within two years before the bankruptcy petition.

United States v. Hope Springs Corporation · filed 2012-05-29(a)(1)(B)

Fifth, the Blacks’ 2001 Chapter 7 bankruptcy did not discharge their tax liabilities because, for the tax years in question, the Blacks either did not file a return or filed a late return “after two years before the date of the filing of the [bankruptcy] petition.” 11 U.S.C. § 523(a)(1)(B)(i)–(ii).

Section 523(a)(1)(A) makes sales taxes collected from customers and held in trust for a state nondischargeable regardless of the debt’s age.

In Re: Michael Calabrese, Jr. v. · filed 2012-07-20(a)(1)(A)

Trust fund taxes are always prioritized and are never dischargeable irrespective of the age of the debt. See 11 U.S.C. §§ 507(a)(8)(C), 523(a)(1)(A). ... Accordingly, we hold that Calabrese’s sales-tax obligation is subject to § 507(a)(8)(C) and is not dischargeable.

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

United States v. Coney · filed 2012-07-24(a)(1)(C)

Accordingly, we hold that the conduct requirement of § 523(a)(1)(C) includes willful attempts to evade or defeat the payment or collection of taxes, in addition to their assessment.

Section 523(a)(1)(C) excepts a tax debt from discharge if the debtor filed a fraudulent return or willfully attempted to evade or defeat the tax.

Dagostini v. Wisconsin Department of Revenue (In re Dagostini) · filed 2012-10-11(a)(1)(C)

For these reasons, the court finds that the Department has amply carried its burden of proving by a preponderance of the evidence, (1) that the debtor filed a fraudulent return and, (2) that the debtor willfully attempted to evade or defeat a tax. Therefore, the debt owed from the debtor to the Department is excepted from discharge under 11 U.S.C. § 523(a)(1)(C).

Section 523(a)(1)(C) requires an act intended to evade payment of taxes; an intentional act that merely results in nonpayment is insufficient.

United States v. Lindros · filed 2012-12-03(a)(1)(C)

In accord with Section 523(a)(1)(C) and Eleventh Circuit precedent, the correct answer to the question “intending what” is “intending a willful evasion of taxes,” which is an act undertaken for the purpose of effecting the non-payment of taxes and not undertaken for some other purpose.

Section 523(a)(1)(C) can except an unpaid tax and some interest from discharge while allowing discharge of other interest when willful evasion of that interest is not proven.

Rossman v. United States (In re Rossman) · filed 2012-12-05(a)(1)(C)

Thus, the underpayment of tax of $157,132 and any interest which is not the subject of the Tax Court case is nondischargeable. ... With respect to the interest and TMT interest which Rossman has challenged or for which he has sought abatements, the Court finds that the IRS failed to satisfy its burden of establishing a willful attempt to evade or defeat those tax liabilities.

Section 523(a)(1)(A) excepts a tax debt from discharge when the tax qualifies for priority under § 507(a)(8).

Winters v. Shulman (In re Winters) · filed 2013-01-30(a)(1)(A)

If the IRS’s claim is a priority claim pursuant to 11 U.S.C. § 507(a)(8)(A), then the claim is non-dischargeable under 11 U.S.C. § 523(a)(1)(A).

Section 523(a)(1)(A) excepts a tax debt from discharge if it qualifies as a priority tax claim under § 507(a)(8).

In re: Mark Winters v. · filed 2013-12-12(a)(1)(A)

The bankruptcy court correctly noted that the priority status of the IRS’s claim for 2004 income taxes was to be determined by 11 U.S.C. § 507(a)(8)(A) and that the dischargeability of such claim is governed by 11 U.S.C. § 523(a)(1)(A). ... Only if the underreporting is sufficient to extend the statute of limitations from three years to six years would the 2004 tax liability be nondischargeable.

Section 523(a)(1)(A) makes a priority tax debt nondischargeable, but that status cannot be decided when the facts needed to determine whether the tax was timely assessable remain unresolved.

Winters v. Shulman (In re Winters) · filed 2013-12-12(a)(1)(A)

In short, whether the debtor’s 2004 tax liability is ultimately nondischargeable depends upon the amount, if any, by which the Debtor underreported his 2004 income. Only if the underreporting is sufficient to extend the statute of limitations from three years to six years would the 2004 tax liability be nondischargeable.

Section 523(a)(1)(B)(ii)’s two-year lookback period for late-filed tax returns is equitably tolled while an automatic stay prevents the IRS from collecting the tax debt.

Putnam v. Internal Revenue Service (In re Putnam) · filed 2014-01-14(a)(1)(B)(ii)

In this proceeding, the two-year look-back period of § 523(a)(l)(B)(ii) was tolled during the pendency of the debtor’s bankruptcy petitions, when the IRS was prevented from collecting on the tax debt.

Section 523(a)(1)(A) excepts a debtor’s derivative liability for a corporation’s excise tax deficiency from discharge when state law makes the debtor liable for the same tax debt.

Rizzo v. State of Mich. Dep't of Treasury · filed 2014-02-04(a)(1)(A)

Rizzo’s liability for the excise tax deficiency is, as a result, nondischargeable under 11 U.S.C. §§ 523(a)(1)(A) and 507(a)(8)(E).

Section 523(a)(1)(A) leaves debtors personally liable after discharge for trust fund taxes, including sales and withholding taxes.

In re Lettieri · filed 2014-02-14(a)(1)(A)

Further, .by reason of the exceptions to discharge in 11 U.S.C. § 523(a)(1)(A), these taxes would remain an obligation of the debtors even after entry of an order of discharge.

Section 523(a)(1)(C) requires proof of intent to evade taxes to except a tax debt from discharge on the ground of willful evasion.

United States v. Parker · filed 2014-06-11(a)(1)(C)

Therefore, the district court should not have granted summary judgment in favor of the United States under § 523(a)(1)(C) for an exception to discharge.

Section 523(a)(1)(A) excepts from discharge taxes specified in § 507(a)(8), including withheld taxes for which the debtor is liable in any capacity.

Pitts v. United States (In re Pitts) · filed 2014-08-12(a)(1)(A)

Bankruptcy Code section 523(a)(1)(A) precludes a discharge of, among others, a tax specified under 11 U.S.C. § 507(a)(8). That section in turn references taxes “required to be collected or withheld and for which the debtor is liable in whatever capacity,” e.g., tax withholdings under 26 U.S.C. § 3403.

Section 523(a)(1)(C) can bar discharge when a debtor knowingly tries to evade an anticipated tax obligation, even before the tax is assessed.

Vaughn v. United States of America Internal Revenue Service (In Re Vaughn) · filed 2014-08-26(a)(1)(C)

These authorities establish that actions taken with knowledge of an anticipated tax obligation can be considered willful, rather than negligent, thus rendering tax debts non-dischargeable in bankruptcy.

Section 523(a)(1)(C) requires specific intent to evade tax; spending more than one earns alone does not establish that intent.

William Hawkins, III v. the Franchise Tax Board of Cal · filed 2014-09-15(a)(1)(C)

Given the structure of the statute as a whole, including its object and policy, legislative history, case precedent, and analogous statutes, we conclude that declaring a tax debt non- dischargeable under 11 U.S.C. § 523(a)(1)(C) on the basis that the debtor “willfully attempted in any manner to evade or defeat such tax” requires a showing of specific intent to evade the tax.

Section 523(a)(1)(A) excepts sales tax debts from discharge when they qualify as priority trust fund taxes under § 507(a)(8)(C).

Fugitt v. Mississippi Department of Revenue (In re Fugitt) · filed 2014-10-27(a)(1)(A)

Since § 523(a)(1) defines taxes that fall within the scope of § 507(a)(8)(C) as exceptions to discharge, the Court finds that the assessed sales taxes are nondischargeable in the Bankruptcy Case.

Section 523(a)(1)(A) excepts qualifying excise taxes and related penalties from discharge.

Perry v. City of Birmingham (In re Perry) · filed 2014-10-30(a)(1)(A)

Because Section 523(a)(1)(A) excepts excise taxes from discharge, the taxes and penalties owed by Dr. Perry were not included in her Chapter 7 discharge.

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

United States v. Stanley · filed 2014-12-12(a)(1)(C)

Pursuant to 11 U.S.C. § 523(a)(1)(C), a discharge in bankruptcy under § 727 does not discharge tax liability where the debtor “willfully attempted in any manner to evade” the tax liability. ... We therefore uphold the district court’s finding that Stanley willfully attempted to evade his federal income taxes.

Section 523(a)(7) excepts government tax penalties tied to nondischargeable taxes from a Chapter 13 hardship discharge when the penalties were incurred within three years of the petition.

In re Brown · filed 2015-05-20(a)(7)

This claim falls within the exception to discharge outlined in § 523(a)(7) because it is a penalty payable to a governmental unit, the U.S. Government, relating to the type of tax specified in 11 U.S.C. § 523(a)(1) and the penalty was incurred within three years of December 4, 2009, the date of the petition.

Section 523(a)(1)(C) requires proof of both evasive conduct and a willful mental state to except a tax debt from discharge; nonpayment while maintaining an affluent lifestyle may be insufficient under the totality of the circumstances.

Looft v. United States (In re Looft) · filed 2015-05-28(a)(1)(C)

To establish the nondischargeability of the tax liabilities at issue, Defendant must prove evasive conduct and a willful mental state. As to the conduct element, Defendant showed that Plaintiff failed to pay taxes while maintaining an affluent lifestyle. When considered in the context of the totality of the circumstances, these facts are insufficient to establish evasion. As a result, Defendant has failed to prove an element necessary to its claim.

Section 523(a)(1)(A) does not except taxes from discharge when they are too old to qualify for priority under section 507(a)(8)(A).

Clark v. Field (In re Clark) · filed 2015-08-19(a)(1)(A)

The taxes are too old to satisfy the requirements for nondischargeability. See 11 U.S.C. §§ 523(a)(1), 507(a)(8)(A).

Section 523(a)(14A) makes qualifying debts for taxes nondischargeable.

Brown v. Link (In re Link) · filed 2015-09-25(a)(14A)

IT IS FURTHER ORDERED THAT the relief requested in Plaintiffs’ Complaint to deny dischargeability pursuant to Section 523(a)(14A) is GRANTED IN PART in that $3,238.66 of the State Court Judgment comprising of $2,038.66 for the Labrayere Cashiers Check and $1,200.00 for the Link Cashiers Check is a debt for taxes and is nondischargeable as to Debt- or, Tara Nicole Link only, and judgment in the total amount of $3,238.66 is entered in favor of Plaintiffs and against Debtor, Tara Nicole Link only, and said judgment is NOT DISCHARGEABLE as to Debtor, Tara Nicole Link, pursuant to 11 U.S.C. § 523(a)(14A) and DENIED IN PART in that the remaining amount of the State Court Judgment is discharged as to Debt- or, Tara Nicole Link; and IT IS FURTHER ORDERED THAT the relief requested in Plaintiffs’ Complaint for attorneys fees is DENIED and this is the final judgment and Order of this Bankruptcy Court in this case.

Section 523(a)(14A) can except a loan from discharge when it was used to pay state taxes that would have been nondischargeable in another debtor’s bankruptcy case.

Brown v. Link (In re Link) · filed 2015-09-25(a)(14A)

The Court reaches this conclusion because Section 523(a)(1) only instructs that the taxes need not be dischargeable, but is silent as to the particular bankruptcy case in which those taxes need not be dischargeable. As such, the sales taxes, which were satisfied by the Labrayere Cashiers Check, constitutes a tax debt described under Section 507(a)(8), and therefore Section 523(a)(1), and is consequently nondischargeable under Section 523(a)(14A).

Section 523(a)(1)(C) makes tax debt nondischargeable when a debtor knowingly avoids payment through substantial discretionary spending despite having the means to pay some of the debt.

Price-Davis v. United States · filed 2015-09-28(a)(1)(C)

In this case, the exception at issue is 11 U.S.C. § 523(a)(1)(C), which renders tax debts non-dischargeable if the debtor “willfully attempted .in any manner to evade or defeat such tax.” ... The Bankruptcy Court found both elements satisfied by the undisputed facts of this case, and this Court concurs for the following reasons.

Section 523(a)(1)(A) does not except unsecured tax debts from discharge when they fall outside the priority categories of § 507(a)(8).

Copley v. United States (In re Copley) · filed 2016-03-22(a)(1)(A)

While not specifically stated in the factual stipulations, the Court finds that the balances owed in connection with the 2008 and 2009 tax years are dischargeable as unsecured debts.

Section 523(a)(1)(C) makes tax debt nondischargeable when a debtor knows of the duty to pay, has the resources to pay, and takes steps to avoid payment.

Stephens v. Internal Revenue Service (In re Stephens) · filed 2016-02-26(a)(1)(C)

For all of the above stated reasons, the Court finds that the debtor was aware of her duty to pay the taxes, had the resources to pay the taxes, and took steps to avoid paying the taxes. Therefore, the Court finds that the debtor willfully attempted to evade or defeat her taxes. As a result, the Court finds that the debtor’s tax liability arising from the underpayment of her taxes in the years 2004, 2005, 2006, and 2007 is nondisehargeable under the second part of § 523(a)(1)(C).

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

United States v. Major · filed 2016-05-10(a)(1)(C)

It is further ORDERED that Major is liable for unpaid taxes for the years of 2002 through 2006 in the total amount of $162,063.21, which debt is excepted from the bankruptcy discharge in Case No. 8:15-bk-849-MGW under Section 523(a)(1)(C) of the Bankruptcy Code.

Section 523(a)(7)(B) permits discharge of a tax penalty when the event that triggered it occurred more than three years before the bankruptcy petition.

In re McCarthy · filed 2016-07-11(a)(7)(B)

This Court holds that, with respect to each of the Late Filed Penalties, the applicable “transaction or event”, for purposes of § 523(a)(7), was the expiration of the deadline to timely file the associated return (with respect to the § 33(a) penalties) and the expiration of the deadline to timely pay the tax (with respect to the § 33(b) penalties). Because these events occurred more than three years prior to the Petition Date, they meet the conditions of § 523(a)(7)(B), and, therefore, the Late Pay Penalties were discharged.

Section 523(a)(7)(B) permits discharge of a tax penalty when the event imposing it occurred more than three years before the bankruptcy petition; for a failure-to-file penalty, that event is the return’s due date.

Aikman v. Internal Revenue Service (In re Aikman) · filed 2016-07-22(a)(7)(B)

Th'e passage of the due date is the event-that triggers the imposition of a penalty and not the start of the tax year itself. ... In this case, the date the 2006 returns were due was April 16, 2007 — within the three years before the Petition Date. Thus, the IRS’s general unsecured claim does not qualify as a dis-chargeable tax penalty pursuant to section 523(a)(7)(B).

Section 523(a)(1)(A) excepts trust fund sales and withholding tax debts from discharge.

Watson v. Mississippi Department of Revenue (In re Watson) · filed 2016-08-31(a)(1)(A)

The Court further finds that the sales taxes and withholding taxes assessed against the Debtor qualify as trust fund taxes. Pursuant to 11 U.S.C. § 523(a)(1)(A), these trust fund taxes are nondischargeable.

A creditor seeking to except a tax debt from discharge under § 523(a)(1)(B) must prove nondischargeability by a preponderance of the evidence.

McGrew v. Internal Revenue Service (In re McGrew) · filed 2016-10-13(a)(1)(B)

The creditor has the burden to prove by a preponderance of the evidence that a debt is nondischargeable in an adversary proceeding under § 523. ... Thus, Debtor’s 2006 tax debt was discharged under § 523(a)(1)(B).

Tax debts covered by § 523(a)(1) are nondischargeable without a creditor filing a dischargeability complaint, absent a contrary determination.

In re Villarreal · filed 2016-12-27(a)(1)

Moreover, absent a determination otherwise, § 523(a)(1) is self-executing.

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

Barto v. United States Department of Treasury Internal Revenue Service (In re Barto) · filed 2016-12-16(a)(1)(C)

It is ORDERED that the tax debt owed for the year 2004-2007 in the amount of $123,958 is excepted from discharge pursuant to § 523(a)(1)(C).

Section 523(a)(1)(A) excepts qualifying recent income tax debts from Chapter 7 discharge.

Kohut v. Wandrie (In re Wandrie) · filed 2017-02-10(a)(1)(A)

Because this tax debt was for these years, it clearly is nondischargeable in Debtor’s Chapter 7 bankruptcy case, under § 523(a)(1)(A).

Section 523(a)(7)(B) permits discharge of a tax penalty arising from an event more than three years before the bankruptcy petition, even if the underlying tax is nondischargeable.

Boudreau v. Rhode Island Division of Taxation (In re Boudreau) · filed 2017-01-24(a)(7)(B)

It does, however, state a claim upon which relief may be granted as to the 2010 penalties assessed as these are dischargeable under § 523(a)(7).

Section 523(a)(1)(C) excepts a tax liability from discharge when the debtor made a fraudulent return or willfully attempted to evade the tax; a prior criminal conviction may establish the relevant facts through collateral estoppel.

Internal Revenue Service v. United States Bankruptcy Court for the Western District of Oklahoma · filed 2017-02-17(a)(1)(C)

The bankruptcy court did not err in determining the doctrine of collateral estoppel barred Terrell from disputing facts material to the determination of dischargeability of the Tax Liability and did not err in determining the Tax Liability to be nondischargeable pursuant to § 523(a)(1)(C).

A prior fraud judgment can establish that a debt is nondischargeable under § 523(a)(2)(A) when collateral estoppel applies.

Jablonski v. Renison (In re Renison) · filed 2017-03-03(a)(2)(A)

In light of the of the foregoing analysis, this Court finds that the Maine Judgment satisfies each of the criteria necessary to apply collateral estoppel under Maine law and is, therefore, entitled to preclusive effect on the issue of nondischargeability under 11 U.S.C. § 523(a)(2)(A).

Section 523(a)(1)(C) makes an entire tax debt nondischargeable when the debtor willfully attempts to evade or defeat the tax; it does not permit a partial discharge.

Feshbach v. United States Department of Treasury (In re Feshbach) · filed 2017-10-17(a)(1)(C)

If a debtor’s conduct and intent with respect to a tax debt meet the requirements of § 523(a)(1)(C), a court cannot look further. At that point, the court must deny the .debtor a discharge as to the entire tax debt.

Section 523(a)(1)(A) excludes income tax debts described in section 507(a)(8)(A) from a Chapter 7 discharge.

Ashmore v. Commissioner · filed 2017-11-27(a)(1)(A)

A debtor’s discharge under 11 U.S.C. sec. 727 does not include debts for taxes of the kind and for the periods specified in 11 U.S.C. sec. 507(a)(8)(A). See id. sec. 523(a)(1)(A).