- 29 -
respect to the asserted items of property, Special O has
satisfied the requirements of section 179 in order to claim a
greater expense deduction for 1993 than that allowed by
respondent. Moreover, even if the Court were to conclude that
Special O purchased the property in question, it can only be
expensed to the extent of the aggregate taxable income for the
taxable year. Respondent has allowed Special O a sec. 179
deduction for $211, and petitioner has not shown that Special O's
taxable income for 1993 exceeded $211. Therefore, even if the
purchase of the property in question had been established, there
could be no additional sec. 179 expense deduction allowed for
1993. Respondent is sustained on this issue.
The fifth issue is whether petitioner is entitled to net
operating loss carrybacks from her 1991, 1992, and 1993 tax years
to her 1988, 1989, and 1990 tax years. The Court's various
holdings herein establish that petitioner failed to show that she
sustained net operating losses for 1991, 1992, and 1993 to carry
back to 1988, 1989, and 1990. Because of the absence of net
operating losses for 1991, 1992, and 1993, her claim to
carrybacks is denied.
The final issue is whether petitioner is liable for
additions to tax and penalties. The first is the addition to tax
under section 6651(a)(1) for failure to file timely Federal
income tax returns for 1988, 1989, 1990, 1991, and 1992. Section
Page: Previous 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 NextLast modified: May 25, 2011