14: Straddle-Year Tax Debts in Bankruptcy: Does the King Get Paid First?

The Internal Revenue Service is often a significant creditor in a bankruptcy proceeding, frequently taking priority over other creditors. In this episode, Tax attorney Douglas Charnas (Washington, DC) and Financial Services attorney Sarah Edwards (New Orleans) discuss the case of Affirmative Insurance, which examined whether federal income tax liability was considered a pre-petition or post-petition debt.