In CASE 23

In CASE 23.3United States Department of Justice v.Sperry (2013) ,Sperry,the sole owner of a Subchapter S corporation that filed bankruptcy,made paymentstoother creditors before paying the corporation's federal tax obligations.Sperrycountered that he was released from the tax liens,and claimed the corporation-not him-owed the 'trust fund taxes.' The IRS sued.How did the court rule and why?

A) For the IRS, because Sperry was never properly incorporated and was therefore personally liable.
B) For Sperry, because the Subchapter S corporation-not Sperry-was liable for the tax obligations.
C) For the IRS.Sperry's payments and loans triggered personal liability.
D) For Sperry, because the IRS failed to give proper notice before seizing the company's assets.