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Transferee liability is established by State law elements as
set forth above. The filing of a joint return by the transferee
and the transferor is not an element. Petitioner's status as a
joint filer with the decedent for the original income tax
liability is immaterial to the assertion of the transferee
liability. Transferee liability and the liability arising from
the joint return are separate causes of action. Section 6013(e)
only provides for relief from liability imposed upon a spouse by
virtue of the filing of a joint return. Because a transferee's
liability does not arise by the filing of a joint return, the
innocent spouse defense cannot be asserted to relieve petitioner
of transferee liability. United States v. Shanbaum, 10 F.3d 305,
315-316 (5th Cir. 1994).
As to petitioner's assertion that it is inequitable to hold
her liable, we are not persuaded. With transferee liability, the
petitioner-transferee is not paying the tax or interest with her
own funds. This is ensured by the limit on the liability of the
transferee to the extent of the amounts transferred by the
transferor. Yagoda v. Commissioner, supra at 185; Brown v.
Commissioner, supra at 267. Had there been no transfer, the
decedent would have paid the liability from his assets. If the
decedent died after paying the tax liability, the transferee
would have received the estate less the amount of the liability.
Thus, whether the amount of liability is removed from the estate
prior to the transfer or after the transfer, the transferee would
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