Section 16.16 Priority

• Library: Bankruptcy Practice (2007 Ed. + 2015 Cum Supp)

A. (§16.16) Priority

Unsecured tax claims do not fare as well in bankruptcy as do secured
tax claims. Nevertheless, unsecured tax claims are given priority treatment over other unsecured claims in bankruptcy under a variety
of circumstances. If a claim falls within one of the nine categories
of priority claims in bankruptcy, it must be paid in full before
claims receiving a lower priority status, as well as general unsecured
claims and subordinated claims, receive any payment in bankruptcy. 11 U.S.C...