- 22 - 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 appliedPage: Previous 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 Next
Last modified: May 25, 2011