McCoy v. Mississippi State Tax Comm’n
McCoy v. Mississippi State Tax Comm’n, 666 F.3d 924 (5th Cir. 2012) held that if a tax return of a debtor was filed even ONE day late, the taxes reported in that return cannot be discharged. Case is referred to as the “McCoy rule,” or the “McCoy test”. In a nutshell, this 5th Circuit rule provides that if the debtor’s tax return was filed late, even by one day, it is invalid and the tax cannot be dischargeable. The rule has been adopted in the 1st, 5th, and 10th circuits, but rejected in the 11th Circuit. Expect that eventually the US Supreme Court will decide the issue, by granting a petition for certiorari in a case involving a (very slightly) filed late tax return.