Chapter 13 Question - listed creditor already paid (IRS)

[asummerplace]

Hi.

I am in month 31 of a 41 month plan (yes, 41 months, I know that's odd). When we originally filed in 11/08, we owed the IRS $1,818. Early in 2009, when our refund came, the IRS deducted the 1,818 out of it. Fair enough. (Our trustee allows us to keep refunds). I notice that this debt is still listed as a priority creditor on NDC, although nothing has been paid out through the plan to them. My question is - what happens with this? Our payments are $363 a month, so it would take roughly 5 months to pay this IRS debt that is no longer owed. Would our plan be paid 5 months early, as in 36 months? Or would we still have to pay 363 for 41 months and the funds would go to unsecured creditors? I am in a "100% percentage to unsecured or unsecured base plan"...I'm not sure exactly what that means, but I see it is being asked a lot when I researched this sort of topic on the forum. Currently, only secured and priority debt is to be paid out.

Any help would be appreciated.

petition filed 11/19/08
confirmed 4/14/09
payments 31 down 10 to go (I think)

[kornellred]

The money the trustee dispersed (or will disperse) to the IRS for the tax debt you owed will most likely be recovered and dispersed to unsecured creditors. Before your case is closed, make certain that your attorney and the trustee are aware of this situation. As cruel as the IRS can be to tax evaders, they cannot accept any overpayment.