These transcripts provide notification to the Bankruptcy Section to file claims. If there is no match with the collection file, the bankruptcy information remains active on EWBS, until the case is closed and the information is deleted from the file. If a subsequent liability arises while the record is active on EWBS, the above changes will occur to the new collection record. When a Notice of Dismissal or Discharge is received from the court on a PIT Chapter 7 or 13, the information is entered and processed by the system. Priority Claim - A claim asserting that the amounts owing are priority State taxes.
Taxes have certain priority by law in the distribution of bankruptcy assets.
Administrative Expense Claim - A claim filed in a bankruptcy proceeding having a higher priority than a Proof of Priority claim, such as a claim for tax liability incurred during the administration of the estate. Debtor - Any person against whom an involuntary petition has been filed or who has filed a voluntary petition. Involuntary Bankruptcy - Petition filed by at least three creditors. Petition - A document filed in a court of bankruptcy initiating a proceeding under the Bankruptcy Code. A plan of reorganization proposed in a proceeding under Chapter 11.