- 9 - With regard to whether a creditor (namely, respondent herein) had a claim against Associates PC before the transfer date, Hanna PC argues that respondent's notice of deficiency to Associates PC was untimely and therefore that respondent did not have a valid timely claim for a $31,450 Federal income tax deficiency against Associates PC. The record indicates that Associates PC filed its Federal income tax return for 1993 on March 15, 1994, and that respondent mailed the notice of deficiency to Associates PC on February 26, 1997. Under section 6501(a), respondent's notice of deficiency is timely. We conclude that respondent had a timely claim of $31,450 against Associates PC before the transfer date.6 In order to analyze the third element of UFTA section 24.006(a) (namely, whether Associates PC did not receive reasonably equivalent value for the transfer of assets to Hanna PC), we compare the amount of the assets Associates PC transferred to Hanna PC with the amount of the assets or rights, if any, that Associates PC received from Hanna PC. See UFTA sec. 24.004; In re Sullivan, 161 Bankr. 776, 781 (Bankr. N.D. Tex. 1993). In determining the amount of the assets or rights received by Associates PC, we treat (as do the parties herein) 6 Under UFTA sec. 24.002(3), a claim is “a right to payment or property, whether or not the right is reduced to judgment, liquidated, unliquidated, fixed, contingent, matured, unmatured, disputed, undisputed, legal, equitable, secured, or unsecured.”Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 Next
Last modified: May 25, 2011