Abstract

The author of the article has assumed that in insolvency proceedings the classification of a VAT liability as a bankruptcy claim or a bankruptcy estate’s liability depends on the timing of the event the occurrence of which results in a VAT obligation. Therefore, if the event took place before bankruptcy has been declared but a VAT obligation arose afterwards, such a tax liability cannot be classified as a bankruptcy estate’s obligation. Declaration of a debtor’s insolvency affects the VAT settlement in bankruptcy proceedings, especially as regards how tax liabilities are asserted and satisfied. Thus, it is important to classify a given tax liability as a bankruptcy claim or a bankruptcy estate’s obligation. This classification is, in turn, connected with the selection of a proper procedure for asserting those claims and their satisfaction either by way of current withdrawals from the bankruptcy estate or by way of distribution of the bankruptcy estate’s funds or the amounts obtained from the sale of encumbered assets.