Another questions -- quarterly income tax

[OnlyBrokeOnce]

Okay,

As a business owner (dba, not LLC or S-Corp) I'm required to file and pay quarterly taxes.

So, for every job we do, I first take out COGs, Labor, then set aside the estimated tax. At the end of the quarter, I'm required to send money to the IRS.

If i file for BK say in the middle of the quarter, can the trustee send the dollars set aside for required taxes?

Or if I wait to file/pay (and pay the penalty), can the trustee look at the payments during the BK process and seize them?

During the process we won't be stopping work. Checks come in, expenses are paid, etc. At what point does trustee get to say, "hey, those are assets!"

[bkfiler]

well, im no attorney, but i do know that the trustee owns your entire estate once you file. he/you are still responsible for making sure money goes toward things owed, etc. so my guess is that money that has to be paid toward taxes can be paid.

im thinking he will not take it from you. i wonder if that doesnt get wrapped up into the payment plan if you do a chapter 13 though.

[JimH]

child support, employee benefits, and then taxes are paid current before the rest is split up for the creditors.