- 21 - Riffe's assets or as a successor transferee of Mrs. Pert's assets. A. Background 1. Transferee Liability The Commissioner may collect unpaid income taxes of a transferor of assets from a transferee or a successor transferee of those assets. Sec. 6901(a), (c)(2); Commissioner v. Stern, 357 U.S. 39, 42 (1958); Stansbury v. Commissioner, 104 T.C. 486, 489 (1995), affd. 102 F.3d 1088 (10th Cir. 1996). Petitioners bear the burden of proving that the transferor is not liable for tax and additions to tax. Sec. 6902(a). In accordance with our holding in Pert v. Commissioner, supra, Mr. Riffe and Mrs. Pert are liable for the tax and additions to tax in the amounts set forth in the stipulated decision in docket No. 15214-91 and in the closing agreements with respondent. The Commissioner bears the burden of proving that a taxpayer is liable as a transferee. Sec. 6902(a); Rule 142(d); Gumm v. Commissioner, 93 T.C. 475, 479-480 (1989), affd. without published opinion 933 F.2d 1014 (9th Cir. 1991). State law generally determines the extent of a transferee's liability. Commissioner v. Stern, supra at 45; Gumm v. Commissioner, supra at 479. We apply Florida law in deciding whether petitioners are liable as transferees under section 6901 because all of thePage: Previous 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 Next
Last modified: May 25, 2011