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limited to only meals and incidental expenses and not lodging.
Accordingly, petitioner’s claimed San Diego lodging expenses for
each of the years at issue are not deemed substantiated under the
aforementioned revenue procedures, and, since petitioner
maintained no independent records under section 274(d) to
substantiate these expenses, he is not entitled to a deduction of
the claimed lodging expenses for those years.
As stated, section 4.03 of each of the aforementioned
revenue procedures allows a self-employed taxpayer the per-diem
method for meals and incidental expenses, but only if the
taxpayer "substantiates the elements of time, place, and business
purpose of the travel expenses". Respondent argues that
petitioner failed to substantiate these elements and, therefore,
is not entitled to the per diem method for meals and incidental
expenses for the years at issue.
Upon an exhaustive examination of the record in this case,
the Court finds that petitioner has adequately substantiated the
time and place but not the business purpose of his days in San
Diego during the years at issue. Petitioner's personal residence
was in San Diego during each of the years at issue, and the Court
is satisfied that petitioner would have spent the same number of
days there regardless of whether or not he was conducting a trade
or business in San Diego during those years. Moreover, section
1.162-2(b)(1), Income Tax Regs., provides that, if travel
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