7
Respondent concedes that petitioner actively participated in his
rental activity in the year in issue. Respondent, however,
argues that petitioner has not substantiated expenses in excess
of those allowed in the notice of deficiency.3
Petitioner presented numerous receipts and his own testimony
to substantiate his expenses. Based upon the record, we find
that petitioner has substantiated cleaning, maintenance, and
repair expenses totaling $3,727 related to the sewer line break
and other power washing. We have reviewed petitioner's remaining
receipts for purchases of items for repairs. The majority of the
purchases were made at home improvement or hardware stores and
are for amounts under $100 each. It is not readily apparent what
every receipt is for--some do not contain a description of the
items purchased. However, most of the receipts contain a
description of the items purchased including paint, drop cloths,
boards, caulking materials, and other related materials.
Petitioner's own testimony concerning the purchases did little to
explain the purpose of the purchases as it was extremely general.
The receipts reflect purchases totaling approximately $2,400,
excluding the repairs related to the sewer line break. Based on
the record, we find that petitioner paid additional repair
expenses in the amount of $1,800.
3 Respondent's brief, due on or before May 27, 1997, was
postmarked May 25, 1997, and was filed by the Court on May 28,
1997. Petitioner requests that we strike respondent's brief as
untimely. We deny petitioner's request.
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