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1.274-5T(c), Temporary Income Tax Regs., 50 Fed. Reg. 46016 (Nov.
6, 1985). Here, that was not done.
We are mindful that the individual petitioners concede that
Mohan Roy occasionally used the Rolls Royce to commute to work, a
nondeductible personal expense under section 262. See Fausner v.
Commissioner, 413 U.S. 838 (1973); Commissioner v. Flowers, 326
U.S. 465 (1946). We are also mindful that the insurance policy
renewal notice indicates that the Rolls Royce is for "pleasure use
or under 30 miles weekly to and from work or school".
Petitioners request us to consider certain Internal Revenue
Service (IRS) audit papers which they claim indicate that the
revenue agent was willing to allow an 80-percent business use of
the Rolls Royce. We will not consider what the agent might have
done to settle this case because of our well-established rule that
this Court generally will not look behind the notice of deficiency
and consider actions or determinations of a revenue agent. See
Greenberg's Express, Inc. v. Commissioner, 62 T.C. 324 (1974).
To conclude, we hold that the corporate petitioner has failed
to substantiate that the expenses paid or incurred relating to the
Rolls Royce were ordinary and necessary business expenses.
Consequently, none of the Rolls Royce expenses are deductible by
Roy, Inc.
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