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ANNOUNCEMENTS

PRODUCTS & CLE

 09/23/1

Webinar -

Discharging Taxes in Bankruptcy

King's 2-day course on Discharging Taxes in Consumer Bankruptcy Cases is being presented as a 9-hour webinar. The webinar is scheduled for three Friday sessions:

Friday, October 9, Oct. 16, and Oct. 30

Regular tuition is $1,350. If enrolled by end of day Monday OCT. 5, the "Early Owl" discounted tuition is 50% off, or $675.

OR

For more information about the webinar click HERE.


09/09/15

King & Deininger

LAWYER'S GUIDE TO IRS

COLLECTION DUE PROCESS APPEALS

& Equivalency hearings

 2015 RELEASE # 2

By Morgan D. King, Esq.  - Neil Deininger, Esq. - Reba Wingfield,  Esq - Nicolas Corry, Esq,  

Step-by-step guide to handling IRS Collection Due Process appeals

This release updates the 2015 # 1 release. More cases and more clarification of law and procedure.

CLICK FOR MORE INFO OR TO ORDER

NEWS - UPDATES - EVENTS

SEPT. 29 2015

PENDING CHANGES IN THE BANKRUPTCY FORMS

Most Official Bankruptcy Forms will be replaced with substantially revised, reformatted and renumbered versions effective December 1, 2015.  The proposed forms are in a book-marked PDF file below.

See "IMPORTANT" at right

These new forms are part of a forms modernization project that was begun by the Advisory Committee on Bankruptcy Rules in 2008.  Among other things, the new forms introduce different versions of case opening forms for individual debtors and non-individual debtors. The new forms are easier for debtors to understand and complete and are designed to work with scheduled enhancements to the federal courts' case opening and electronic case management system.

Some of the modernized forms are already in effect and will simply be renumbered on December 1, 2015.  Other forms were published for public comment in August 2013 or 2014 and have been approved by the Bankruptcy Rules Advisory Committee and the Standing Rules Committee.  All but six existing official forms are on track to be replaced by modernized versions.

CLICK FOR MORE STORY

_____________________________________

FROM NERDWALLET

In total, American consumers owe:

• $11.85 trillion in debt

• An increase of 1.7% from last year

• $890.9 billion in credit card debt

• $8.17 trillion in mortgages

• $1.19 trillion in student loans

• An increase of 7.1% from last year

 CLICK FOR MORE STORY

CASE & LAW HOTWIRE

DEC. 1 2015

IMPORTANT:

ALL OFFICIAL BANKRUPTCY FORMS WERE SUBSTANTIALLY REVISED AND EFFECTIVE DEC. 1 2015.

FOR A LOOK AT THE NEW FORMS CLICK HERE AND FOR EXPLANATION CLICK CLICK HERE

______________

SEPT. 29 2015

CASE - WHAT IS A VALID TAX RETURN?

Add to King's Discharging Taxes in Consumer Bankruptcy Cases (Release 2012). ¶ 2.4(f)(2) and ¶ 2.4(f)(11).

FLA BK COURT REJECTS McCOY AND GROUNDS ITS RULING ON THE "BEARD" TEST

Coyle v. United States (In re Coyle), 524 B.R. 863 (Bankr. S.D.Fla., 2015)

On this case, in which the taxpayer filed his tax returns after the IRS had already assessed the taxes, the bankruptcy for the Southern District of Florida avoided the McCoy rule, and based its decision instead on the 4-prong Beard test. Citing Pendergast v. Mass. Dep't of Revenue 510 B.R. 1 (B.A.P. 1st Cir., 2014) the court wrote:

"The Pendergast court agreed with McCoy that the changes in BAPCPA replaced the Beard test but held that:

       " if a tax return is never filed, then it is clear that the tax obligation is nondischargeable. If a return is filed late, dischargeability depends on the taxpayer's cooperation with the taxing authorities. In Massachusetts, if the debtor engages in self-assessment by filing a late return before the taxing authority assesses a deficiency (analogous to 26 U.S.C. § 6020(a)), then the tax liability may be dischargeable if the return was filed more than two years before the filing of the petition. If the Massachusetts tax authority assesses a deficiency before the debtor's self ... the debtor's tax liability will not be dischargeable.

"Although this Court is relying on the Beard test, the reasoning in Pendergast is instructive. The IRS Assessment occurred on May 11, 2009, without the Debtor's cooperation and input. After the IRS Assessment, the IRS began its collection efforts. The Debtor then, in response to the IRS's actions, filed her Form 1040 for tax year 2006 in February 19, 2010, roughly two years after a return was due.

The Debtor's filing of a Form 1040, according to counsel for the IRS ... was never considered a "tax return" by the IRS, but was rather taken as an administrative request to reconsider the IRS Assessment, which the IRS accepted and used to modify the Debtor's tax liability.

In sum, because the Debtor filed her Form 1040 for 2006 after the IRS Assessment, it was not an honest and good faith effort to comply with the tax laws.

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