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time the transfer was made, Mr. Espinosa had paid no taxes,
beyond withholding, for the years 1980 through 1985. Yet even
his own subsequently filed returns indicate that he owed taxes
for some of these years, and the parties stipulated that “The
Internal Revenue Service was a creditor of Frederick Espinosa at
the time of the transfer of the Lidak stock.”
Moreover, no evidence shows that the taxes so reflected as
due have been paid. To the extent that statements made by
petitioner on brief can be read to argue that the source of the
claimed $80,967 overpayment for 1980 was unrelated to the $93,000
to $94,000 in payments made to the IRS in 1991, and that these
payments are therefore sufficient to eliminate any remaining
liabilities, we find such a position to be insupportable on this
record.
Respondent’s transcript of account for Mr. Espinosa’s 1980
taxable year records all activity with respect to the account
dating from the 1988 preparation by the IRS of a substitute
return for Mr. Espinosa as a nonfiler. However, until the
subsequent payments of $93,000 to $94,000 commencing in 1991, the
only credit reflected therein is a $38,265 credit for withheld
taxes and excess FICA. The transcript shows neither credit for
an overpayment from a prior year nor remittance of any additional
sums to the IRS beyond the $93,000 to $94,000. Hence, since
these payments are the only ones made by Mr. Espinosa and applied
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