- 20 - service. Such an intent is not a sufficient profit motive for purposes of section 162. Accordingly, for the year 1983, respondent's allowance of the expenses attributable to the operation of the charter boat service only to the extent permitted by section 183 is sustained. In addition, because petitioners have failed to substantiate any such expenses deducted in 1984 and 1985, respondent's adjustments disallowing the deductions for those years are likewise sustained. Sec. 6001. Because petitioners have failed to persuade us that the charter boat service was conducted as a trade or business, it follows that respondent's disallowances of the investment tax credits for the years 1983 and 1984 must also be sustained, and we so hold. Secs. 38, 48. It further follows that Hans Hammann improperly claimed investment tax credit carrybacks to the years 1980 and 1981, and the deficiencies determined by respondent against him for those years are sustained as well. Cheryl Hammann's Condominium The dispute on this issue arises primarily from respondent's determination that petitioners used an improper currency conversion rate in computing the depreciable basis of the property. The conversion rate used by respondent in making her adjustments is more favorable to petitioners than the average conversion rate for the years involved. In any event,Page: Previous 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Next
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