Shizuo George Kurata - Page 15

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                  C.  Moving Expenses                                                                 
                  Petitioner claimed on the 1989 tax return a moving expense                          
            deduction in the amount of $1,322.  In the notice of deficiency,                          
            respondent disallowed that deduction in full and increased                                
            petitioner's taxable income accordingly.  Respondent explained                            
            that petitioner was not entitled to the deduction because he was                          
            not a full-time employee in the general location of his new                               
            principal place of work for at least 39 weeks during the 12-month                         
            period immediately following his arrival in such location.  See                           
            sec. 217(c)(2).                                                                           
                  In his brief, petitioner concedes that he erred in reporting                        
            the claimed expenses as moving expenses under section 217.  He                            
            argues, instead, that the claimed expenses should be deductible                           
            as employee business expenses under section 162(a)(2).                                    
            Petitioner's assertion is not supported by the type of                                    
            substantiation required under section 274(d).  See supra                                  
            sec. II.B.  Thus, respondent's adjustment increasing petitioner's                         
            taxable income for the disallowed moving expense deduction is                             
            III.  Additions to Tax                                                                    
                  A.  Section 6651(a)(1)                                                              
                  Section 6651(a)(1) imposes an addition to tax for failure to                        
            file a timely return (determined with regard to any extension of                          

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