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2. Section 6330(c)(2)(B)
In addition to principles of res judicata, the provisions of
section 6330(c)(2)(B) prevent petitioners from challenging in
this collection proceeding the existence and amount of their
transferee tax liabilities.
In an effort to avoid this result, petitioners urge upon us
a novel interpretation of section 6330(c)(2)(B). They contend
that section 6330(c)(2)(B) authorizes a person to challenge the
amount or existence of tax liability in a collection proceeding
if the person meets either of two purportedly disjunctive
criteria: (1) If the person did not receive any statutory notice
of deficiency; or (2) if the person did not otherwise have an
opportunity to dispute the tax liability. Petitioners contend
they meet the former criterion because they received no statutory
notices of deficiency but only statutory notices of transferee
liability. Thus, petitioners conclude, the literal language of
section 6330(c)(2)(B) permits them to challenge their underlying
tax liabilities.
We are unaware that any court has explicitly addressed the
merits of the highly literal construction of section
6330(c)(2)(B) that petitioners urge upon us. In numerous cases,
however, this Court and other courts have implicitly rejected
petitioners’ reading of section 6330(c)(2)(B). See, e.g.,
Aguirre v. Commissioner, 117 T.C. 324 (2001) (taxpayers who
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