- 9 -
his tax liabilities from the bankruptcy estate. Even though
respondent was not required to file the motion to compel,
petitioner believes respondent’s Insolvency Section “should” have
exercised discretion to do so. Petitioner argues that by not
filing the motion, it enabled the trustee to request and receive
“the maximum amount of compensation allowed by law”. Petitioner
believes that the maximum is “not generally granted” and that the
“trustee compensation is not an administrative cost of the
estate.”
Administrative expenses include taxes incurred by the estate
(other than taxes listed in 11 U.S.C. section 507(a)(8)), such as
the postpetition State sales taxes in this case the proposed
payment of which petitioner believes respondent’s Insolvency
Section should have objected to. 11 U.S.C. sec. 503(b)(1)(B)
(2000). Also, petitioner’s belief concerning the classification
of the trustee’s compensation expense is incorrect.
Compensation and reimbursement of actual and necessary
expenses of the trustee are administrative expenses of the
bankruptcy estate. 11 U.S.C. secs. 503(c)(2), 330 (2000). The
determination of whether the amount of compensation requested is
reasonable requires consideration of a number of factors. 11
U.S.C. sec. 330(a)(3)(A). The fee requested by the trustee is
subject to reduction upon motion by the court itself, the United
States trustee, or “any party in interest.” 11 U.S.C. sec. 330.
Neither the bankruptcy court nor any party in interest moved to
reduce the trustee’s fee in petitioner’s bankruptcy proceeding.
Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 Next
Last modified: May 25, 2011