- 9 - Fund v. H.F. Johnson, Inc., 830 F.2d 1009, 1016-1017 (9th Cir. 1987). The Supreme Court has held that the United States is not bound by State statutes of limitation in enforcing its rights. For instance, in United States v. Summerlin, 310 U.S. 414 (1940), the Supreme Court held that the United States' claim against the estate of a deceased could not be extinguished under a State law imposing an 8-month time limit on filing claims against the estate. See Bresson v. Commissioner, 111 T.C. 172 (1998). Similarly, the Supreme Court has recognized that Federal statutes of limitation override conflicting State laws. For example, in Herget v. Central Bank Co., 324 U.S. 4 (1945), the Supreme Court held that a trustee in bankruptcy was precluded from attempting to set aside and recover a preferential transfer by virtue of the 2-year statute of limitations applicable under Federal law, i.e., the Bankruptcy Code, in spite of the trustee’s argument that State law allowed a 5-year period of limitations for such actions. Consistent with these cases, we hold that the 3-year statute of limitations set forth in section 6501(a) is controlling in this case. Our holding on this point is based on sound policy considerations. The various statutes of limitation that Congress has enacted under the Internal Revenue Code, and particularly section 6501, are essential to our nation’s tax system which isPage: Previous 1 2 3 4 5 6 7 8 9 10 11 12 Next
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