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undated, handwritten Estimated Income Tax Voucher for the 1994
taxable year and a New York income tax adjustment statement to
substantiate his State income tax deduction.
As previously noted, the New York income tax adjustment
shows that petitioner estimated his New York State income taxes
to be $25,000 when he submitted Form IT-370, and had $2,610
withheld in New York State income tax for the 1994 taxable year.
The Estimated Income Tax Voucher states that petitioner made an
estimated New York State income tax payment of $35,000. However,
the Estimated Income Tax Voucher lacks credibility because
petitioner has not produced a check or other evidence of actual
payment, and the amount shown thereon is inconsistent with the
amount shown on the New York income tax adjustment.
We uphold respondent's determination that petitioner is
entitled to deduct, as an itemized deduction, only $2,610 which
is attributable to New York State income tax withheld because
this amount constituted payments of income tax made in 1994.
Petitioner has not shown that the $25,000 attributable to
estimated tax payments submitted with Form IT-370 was paid in
1994.
Lastly, petitioner claims $16,500 in travel expenses and
$14,400 for meals and entertainment expenses. In order to deduct
an expense pursuant to section 162(a), petitioner must show that
each item was (1) paid or incurred during the taxable year, (2)
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