- 2 - Respondent determined a deficiency in petitioner’s 1998 Federal income tax in the amount of $1,507. After concessions by respondent and deemed concessions by petitioner, this Court must decide: (1) Whether petitioner is entitled to deductions claimed on his Schedule C, Profit or Loss From Business; (2) whether petitioner is entitled to a net operating loss deduction in excess of that allowed by respondent; and (3) whether petitioner is entitled to credits for excess Social Security taxes and for Medicare taxes withheld from his wages during 1998. Some of the facts in this case have been stipulated and are so found. Petitioner resided in Jefferson, Texas, at the time he filed his petition. Petitioner timely filed his Federal tax return for the taxable year 1998 (1998 return). Petitioner’s principal source of income for the 1998 taxable year was from his activity as a cross-country truck driver. During 1998, petitioner also operated a machine shop from his building located on the property of his mother. Petitioner attached to his 1998 return a Form W-2c, Corrected Wage and Tax Statement, from his employer, Key Boys Inc. (Key Boys). The Form W-2c reported petitioner’s wages from Key Boys during 1998 as $50,334 (all amounts are rounded) and $2,199 as Federal income tax withheld. The Form W-2c reported petitioner’s Social Security tax withheld and Medicare taxPage: Previous 1 2 3 4 5 6 7 8 9 10 11 Next
Last modified: May 25, 2011