
    In the Matter of the Estate of William H. Reynolds, Deceased.
    Surrogate’s Court, Nassau County,
    December 28, 1962.
    
      Wrenn Schmid (William J. Cosgrove of counsel), for petitioner. M. Rudolph Preuss, as special guardian for Mark R. Futoran and another, infants. Jack Korshin, as special guardian for Shika Ishi and others, creditors. Abraham Schlissel, as special guardian for John H. Whyte, legatee and creditor. Arthur Rosenbaum for estate of Walter B. Atterbury, deceased. Cornelius W. Wickersham, Jr., United States Attorney (Philip Silverman of counsel), for United States of America. Israel I. Davidson for estate of Margaretta Griem, deceased, creditor. Clarence W. Archibald for State Tax Commission. Louis J. Lefkowite, Attorney-General (Tony Berman of counsel), for State of New York. Kiernan & Muleahy for N. Y. Band Instrument Co., Inc., creditor. Bachrack é Bisgyer for trustees of Moses L. Parshelsky Foundation, claimant. Thomas E. Scanlon for Internal Revenue Department.
   Johít D. Behkett, S.

In this accounting proceeding the court has been requested to find that the claim of the United States for decedent’s unpaid income and estate taxes is preferred over all other debts after the payment of administration expenses.

It appearing, on the basis of the account filed, that this estate is insolvent, this court finds that debts due the United States are preferred, and must be paid after the payment of administration expenses and before the payment of other creditors (U. S. Code, tit. 31, § 191; Surrogate’s Ct. Act, § 212). This is true even though the State of New York also seeks collection of certain unpaid taxes (Matter of Henke, 193 Misc. 52).  