- 17 - whether the automotive expense petitioner claimed was incurred solely in the operation of his business activity; i.e., as a travel expense subject to the substantiation requirements of section 274(d). The extent of petitioner's personal use of the automobile is also unclear. Given that petitioner has failed to identify the purpose for which the claimed expense was incurred, the deduction is not allowed. Petitioner's check to the Clerk of the Superior Court is inadequate to justify his entitlement to the claimed expenditure. We cannot determine whether this fee is associated with a claim which is personal to petitioner, or whether it is business related. United States v. Gilmore, 372 U.S. 39 (1963); O'Malley v. Commissioner, 91 T.C. 352, 361 (1988). Petitioner has not demonstrated that the expense is an ordinary and necessary business expense under section 162. Accordingly, we will not allow petitioner to deduct the $80 payment to the Clerk of the Superior Court as a Schedule C expense. Petitioner claimed deductions for supplies, subscriptions, and other expenses totaling $1,665. These expenditures do not fall within the purview of "listed property" and, therefore, are not subject to the substantiation requirements of section 274(d). However, petitioner has not provided the Court with any basis for allowing these expenditures as ordinary and necessary business expenses pursuant to section 162. In order for the Court to estimate the amount of an expense, we must have some basis uponPage: Previous 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 Next
Last modified: May 25, 2011