- 3 - Car and truck expenses $ 1,514 Depreciation 573 Utilities 1,714 Other expenses: Uniform/dry cleaning/rental $8,221 Luggage destroyed traveling 530 maintenance of residence while out of town 1,110 Conferences 2,100 11,961 Total 15,762 In a notice of deficiency dated October 24, 1997, respondent disallowed $9,861 of the following Schedule C expenses: (1) Uniform/dry clean/rental--$8,221; (2) luggage destroyed while traveling--$530; and (3) maintenance of residence while out of town--$1,110. Deductions are a matter of legislative grace, and a taxpayer seeking a deduction must establish her entitlement to the deduction claimed. New Colonial Ice Co. v. Helvering, 292 U.S. 435, 440 (1934). Section 162(a) allows a deduction for all the ordinary and necessary expenses paid or incurred in carrying on a trade or business. Section 262, however, denies a taxpayer a deduction for personal, living, or family expenses. Rental Clothing Deductions Petitioner contends that she rented formal clothing on various occasions while lecturing. Petitioner always inquired about the occasion beforehand in order to be appropriately dressed. Petitioner claimed deductions in the amount of $550 forPage: Previous 1 2 3 4 5 6 7 8 Next
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