Opinion
No. 75-519-NN
December 18, 1978
Arrangements — Bankruptcy Rules — Assessment and Payment of Taxes — Timeliness
Post-confirmation filing of a tax claim may be permitted in an arrangement proceeding if the case is still "pending", the taxes were owing at the time the petition was filed, no assessment was made prior to confirmation and the assessment is made within one year after the filing date. In this case, the petition was filed on November 25, 1975 and confirmed on May 19, 1976. On June 7, 1976 the IRS assessed against the debtor withholding and social security taxes for the last quarter of 1974. The government's formal proof of claim was filed on August 13, 1976. From these facts it is clear that all four prerequisites to allowance of post-confirmation filing of tax claim is met here. The estate is still pending since the bankruptcy court continues to exercise jurisdiction over creditors' claims and no order closing the estate has been entered. The taxes were owing when the petition was filed since they are for the last quarter of 1974 and thus became due and payable on January 1, 1975. There is no question that assessment was made after confirmation and within one year of the filing of the petition. See Sec. 397 [§ 1146] at ¶ 12,213 and Bankruptcy Rule 11-33 at ¶ 20,733.