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(ii) of a decedent
in the case of a tax
imposed by chapter 11
(relating to estate
taxes) * * *.
When proceeding pursuant to section 6901(a), respondent generally
may not assess or attempt to collect an estate tax deficiency
from a transferee without first following the normal deficiency
procedures set forth in sections 6211 to 6216. See, e.g., Estate
of Frost v. Commissioner, T.C. Memo. 1993-94.
Section 6901(h) defines the term "transferee" as follows:
SEC. 6901(h) Definition of Transferee.--As used in
this section, the term “transferee” includes donee,
heir, legatee, devisee, and distributee, and with
respect to estate taxes, also includes any person who,
under section 6324(a)(2), is personally liable for any
part of such tax. [Emphasis added.]
Although section 6901(a) sets forth the procedures to be
followed in transferee liability cases, the existence and extent
of a transferee's substantive liability is established under
section 6324(a)(2). See Schuster v. Commissioner, 312 F.2d 311,
315 (9th Cir. 1962), affg. 32 T.C. 998 (1959), and revg. First
Western Bank & Trust Co. v. Commissioner, 32 T.C. 1017 (1959)
(interpreting section 827(b) of the Internal Revenue Code of
1939--a predecessor of section 6324(a)). Section 6324(a)
provides in pertinent part:
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Last modified: May 25, 2011