Local Rule Rule 2015-1: DUTY TO MAKE PAYMENTS, FILE TAX RETURNS, PAY TAXES, AND FILE REPORTS IN CHAPTER 11 AND CHAPTER 13 CASES

Rule 2015-1 DUTY TO MAKE PAYMENTS, FILE TAX RETURNS, PAY TAXES, AND FILE REPORTS IN CHAPTER 11 AND CHAPTER 13 CASES A. Filing of Delinquent Tax Returns and Information Regarding Payment of Real Property Taxes. Within sixty (60) days of the date of the initial filing of a bankruptcy petition, each debtor or debtor-in-possession shall file any and all federal and territorial tax returns which are due but unfiled as of the date of the filing of the bankruptcy petition. The returns shall include all income, gross receipts, gift, excise, withholding, self employment, and other tax returns.

B. Chapter 11 cases. 1. The trustee or debtor-in-possession in a chapter 11 case shall keep current and pay when due any debt which has arisen since the entry of the order for relief, including any debt arising from rentals or other money due on account of real estate leases and any debt for utility service. Any rent deposit required by 11 U.S.C. § 362(l)(B) tendered with the original petition must be paid to the lessor not the Clerk and a certification of payment filed with the Clerk not later than the next immediate business day following the day the petition is filed. 2. The trustee or debtor-in-possession in a chapter 11 case shall: a. timely file all federal and territorial tax returns and pay all applicable taxes due the applicable taxing bodies during the pendency of the bankruptcy case; b. file copies of the most recent balance sheet and profit and loss statement of non-individual debtors with the Clerk.

C. Chapter 13 cases. A chapter 13 debtor who owns real estate or operates a business shall conduct a search of public records in the territorial location in which the debtor owns real estate or operates a business in advance of the filing of the petition. Verification of that search, and its results, shall be made by filing a statement to that effect with the bankruptcy schedules.

In addition, a chapter 13 debtor who is engaged in business shall: 1. keep current and pay directly when due any debt which arose on or after the entry of the order for relief, including any business-related utility bills except for debt for rent of any business-related property, adequate protection to a secured creditors or post-petition mortgage payments. Rent for business-related property, adequate protection payments and post-petition mortgage payments shall be added to the plan payment and paid to the chapter 13 Trustee, who will distribute those payments to the creditors as designated in the plan. 2. submit to the local office of the Department of Revenue of the United States Virgin Islands a certified or cashier's check in full payment of the following taxes as follows: a. any USVI sales tax collected shall be remitted together with the proper tax returns no later than the end of the seventh day following the last day of each month in which such sales taxes were required to be collected; and b. all employer withholding tax (personal income tax) shall be remitted together with the proper tax returns no later than the end of the second business day after the payment of wages to employees; 3. submit no later than the last day of the month following the end of the quarter to the local office of the USVI, Department of Labor, in accordance with the filing and payment provisions of the USVI Unemployment Laws, tax returns together with a certified or cashier's check in full payment of the employer contributions due pursuant to USVI Unemployment Compensation Law; 4. submit or provide to the trustee not later than seven (7) days before the date first set for the § 341 meeting of creditors a paper copy of any and all tax returns required under applicable law (or, at the election of the debtor, a transcript of such return) for the four years before the commencement of the case. If a tax return was not filed, the debtor shall submit an affidavit or declaration under penalty of perjury with the trustee not later than seven (7) days before the date first set for the first § 341 meeting of creditors which informs the trustee that a tax return is not available and the reason. 5. serve on the chapter 13 trustee a Chapter 13 Business Case Questionnaire on a form substantially in compliance with LBF 5 at least fourteen (14) days prior to the first date set for the meeting of creditors; 6. serve on the chapter 13 trustee and others as ordered by the Court a report of operations no later than the fourteenth day of the month covering the preceding month. The monthly reports of operations shall not be filed with the Court. a. The initial report of operations shall include a statement of the name and location of each depository or place of investment holding funds of the estate and the applicable account numbers. b. In addition to the information required by Fed. R. Bankr. P. 2015, all statements of operations shall contain a cumulative list of all debts which have arisen and indicate which have been paid and which remain unpaid since the order for relief was entered.

See also LBR 1007-4 (duty to make domestic support obligations).