Mario R. Sanhudo - Page 4

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          an investigation of his return preparer, Space Coast.  Petitioner                  
          also complains that the IRS failed to respond to his inquiries.                    
                The determinations of the Commissioner in a notice of                        
          deficiency are presumed correct, and the burden of proof is on                     
          the taxpayer to show that the determinations are incorrect.  Rule                  
          142(a); Welch v. Helvering, 290 U.S. 111, 115 (1933).  Deductions                  
          are a matter of legislative grace, and petitioner bears the                        
          burden of proving entitlement to any claimed deductions.  New                      
          Colonial Ice Co. v. Helvering, 292 U.S. 435 (1934).                                
                Section 162(a) permits a deduction for "ordinary and                         
          necessary" expenses incurred while carrying on a trade or                          
          business.  Since petitioner is an employee, any deductions to                      
          which he might be entitled would be included as employee expense                   
          deductions on Schedule A.  Primuth v. Commissioner, 54 T.C. 374,                   
          377 (1970).                                                                        
                Petitioner has failed in his burden of proof.  Petitioner                    
          did not present any documents or testimony in this case upon                       
          which we can make a finding that there was a business purpose to                   
          the claimed employee expenses.  In fact, petitioner testified                      
          that some of the expenses related to visiting family members.                      
          Thus, there is no question but that some of the claimed expenses                   
          are personal in nature and nondeductible.  Sec. 262.                               
                With respect to petitioner's complaints that he was unfairly                 
          selected for examination, we note that the Commissioner, in an                     
          attempt to ascertain the correctness of a taxpayer's return, may                   




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