- 6 - On March 15, 1994, Associates PC filed its Federal income tax return for 1993. In 1996, Hanna filed a bankruptcy petition on behalf of Associates PC and a second personal bankruptcy petition on his own behalf. On February 26, 1997, after an audit, respondent mailed Associates PC a notice of deficiency determining, among other things, an income tax deficiency of $31,450 in Associates PC's 1993 Federal income tax liability. Also on February 26, 1997, respondent mailed to Hanna PC a notice of transferee liability in the amount of $25,297 relating to the $31,450 income tax deficiency for 1993 that respondent had determined against Associates PC.3 OPINION Under section 6901(a), a procedure is provided to collect from a transferee of assets a transferor's tax liability if the transferee is liable at law or in equity for the transferor's tax liability. See Commissioner v. Stern, 357 U.S. 39, 42 (1958) (interpreting then sec. 311, a predecessor to sec. 6901); Stansbury v. Commissioner, 104 T.C. 486, 489-490 (1995), affd. 3 At trial, respondent's agent testified that Hanna PC's transferee liability under sec. 6901 should be increased to $28,648. Respondent, however, has not moved to amend his pleading or asked the Court to increase the deficiency to conform to the evidence. We decline to consider an increase in Hanna PC's alleged transferee liability.Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 Next
Last modified: May 25, 2011