IRS Proof of Claim

[lgeiger99]

Yes, I missed the date of the article too. Thanks for commenting, HMH and thanks to you too, justbroke.

Here's another article I found today that addresses the types of claims and discusses the cramdown (his words, not mine) of tax, interest and penalties and how some may be removed and in which situation.

http://howardlevyirslawyer.com/blog/wp-content/uploads/2009/08/naea-outline-bankruptcy-8-09.pdf

The section I was particularly interested in was Section K. Is this accurate? I am getting what I've read you and justbroke say, Tigergem - I've been immersed in nothing but Chapter 13 for the last week - to the tune of 12 hours per day.

Thanks,

[lgeiger99]

I think justbroke is right, aside from the tax lien, there isn't really whole lot you need to do. About all you need to do is a Motion to Value the Tax Lien which establish the value of the secured portion, if any, of the IRS Debt. Otherwise, the remainder of the debt appears to be general unsecured, so all you need to do is schedule
properly. In fact, you may not even need to do the motion to value; if the only assets with equity are household items, you can call the local IRS insolvency division and simply ask them to remove the lien, and most of the time, they will.

As for removing tax penalties etc., I think you are missing the point, yes, the BK has jurisdiction, but you need a REASON why the penalties SHOULD BE REMOVED; aside from a mistake in assessing the penalty, there really is no legal basis for the BK court to remove properly assessed tax penalties. For example, if you filed your tax return on time, but the IRS assessed a Failure to File penalty, the BK court can undue that (as will a phone call with the IRS), but simply requesting a reduction if penalties for no reason, not gonna happen.

Hi HMH,

The straightforward approach makes perfect sense. And yes, I see your point now. I found another article below, based on what you've said here, I am questioning it's credibility. Can you take a look, please?