Robert Politte v. United States

MEMORANDUM

Taxpayers Robert Politte, Joan Politte, and TRKSS, LLC, appeal from the district court’s judgment denying their claims for a tax refund under 26 U.S.C. § 7426 (a). We have jurisdiction under 28 U.S.C. § 1291 . We review the district court’s determination that one party is the “alter ego” of another for clear error. Wolfe v. United States, 798 F.2d 1241 , 1243 n. 2 (9th Cir.1986). Finding no clear error, we affirm.

This case arises out of the liability of RAJMP, Inc., a California corporation, for unpaid employment taxes. The Internal Revenue Service (IRS), contends that Appellants are liable for RAJMP’s unpaid taxes, on the ground that they are the “alter egos” of RAJMP (or, alternatively, held title to certain assets as RAJMP’s “nominees”). Appellants disagree. They filed the instant refund suit to recover the value of certain assets sold to satisfy RAJMP’s debts. After a bench trial, the district court entered judgment for the IRS, finding both that Appellants were RAJMP’s alter egos and that they held title to certain assets as its nominees.

The district court did not clearly err in finding that Robert and Joan Politte were RAJMP’s alter egos. Under California…