- 4 -
With respect to the unreimbursed employee business expenses,
petitioner claims that, while she was employed by Inland Business
Machines in outside sales, she traveled, in her own car,
sometimes several hundred miles a day selling office equipment.
Petitioner estimated she traveled 22,000 business-related miles
in her car during 1981. Petitioner claims she is entitled to
deductions of $4,800 for mileage and $50 for parking fees and
tolls.
All taxpayers are required to keep sufficient records to
enable the Commissioner to determine their correct tax liability.
Sec. 6001; Meneguzzo v. Commissioner, 43 T.C. 824, 831-832
(1965). Moreover, deductions are a matter of legislative grace,
and the taxpayer bears the burden of proving that he or she is
entitled to any deduction claimed. Rule 142(a); New Colonial Ice
Co. v. Helvering, 292 U.S. 435, 440 (1934); Welch v. Helvering,
supra. This includes the burden of substantiation. Hradesky v.
Commissioner, 65 T.C. 87, 90 (1975), affd. per curiam 540 F.2d
821 (5th Cir. 1976).
As a general rule, if the record provides sufficient
evidence that the taxpayer has incurred a deductible expense, but
the taxpayer is unable to adequately substantiate the amount of
the deduction to which he or she is otherwise entitled, the
Court, in some situations, may estimate the amount of such
expense and allow a deduction to that extent. Cohan v.
Page: Previous 1 2 3 4 5 6 7 Next
Last modified: May 25, 2011