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Commissioner, 51 T.C. 13, 19 (1968); Estate of Stein v.
Commissioner, 37 T.C. 945, 961 (1962); O’Sullivan v.
Commissioner, supra.
Section 3287(a) of the California Civil Code (West 1997)
reads: “Every person who is entitled to recover damages certain,
or capable of being made certain by calculation, and the right to
recover which is vested in him upon a particular day, is entitled
also to recover interest thereon from that day”. Respondent
therefore has the right under California law to interest on the
value transferred, at the legal rate specified by State statute,
from the date the transfer was made, July 31, 1990, until July
17, 1997, the date of the notice of transferee liability. See
O’Sullivan v. Commissioner, supra. Additionally, a transferee is
liable for interest accruing at the statutory rate as prescribed
under sections 6601 and 6621 of the Internal Revenue Code for the
period following the issuance of the transferee notice until the
liability established thereby is paid. See Estate of Stein v.
Commissioner, supra at 959; O’Sullivan v. Commissioner, supra.
Respondent bears the burden of proving all elements
necessary to establish the taxpayer’s liability as a transferee,
but not to show that the transferor was liable for the tax. See
sec. 6902(a); Rule 142(d).
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