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In order to substantiate a deduction by means of adequate
records, a taxpayer must maintain a diary, a log, or a similar
record, and documentary evidence that, in combination, are
sufficient to establish each element of each expenditure or use.
Sec. 1.274-5T(c)(2)(i), Temporary Income Tax Regs., 50 Fed. Reg.
46017 (Nov. 6, 1985).
When a traveling taxpayer engages in both business and
personal activities, expenses for transportation, meals, and
lodging are deductible only if the trip is related primarily to
the taxpayer's trade or business and not primarily personal in
nature. Sec. 1.162-2(b)(1), Income Tax Regs. Whether a trip is
related primarily to the taxpayer's trade or business or is
personal in nature depends on the facts and circumstances in each
case. Sec. 1.162-1(b)(2), Income Tax Regs. Where a taxpayer's
spouse accompanies the taxpayer on a business trip, expenses
attributable to the spouse's travel are not deductible unless it
can be adequately shown that the spouse's presence on the trip
has a bona fide business purpose. The spouse's performance of
some incidental service does not cause the spouse's expenses to
qualify as deductible business expenses. Sec. 1.162-2(c), Income
Tax Regs.
The manner in which petitioner attempted to market his book,
that is, merely showing up at a retail bookstore without advance
notice or an appointment, leads us to conclude that petitioners'
claimed travel expenses were not incurred primarily in connection
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Last modified: May 25, 2011