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business expenses.15 Section 162(a) allows a deduction for all
ordinary and necessary expenses incurred in carrying on a trade
or business. Whether an expense is deductible under section 162
is ultimately a question of fact. See Commissioner v. Heininger,
320 U.S. 467, 475 (1943). An ordinary and necessary expense is
one which is appropriate or helpful to the taxpayer's business
and which results from an activity which is a common and accepted
practice. See Boser v. Commissioner, 77 T.C. 1124, 1132 (1981),
affd. by order (9th Cir. 1983). No deduction, however, is
allowed for personal, living, or family expenses, even if related
to one's occupation. See sec. 262; Fred W. Amend Co. v. Commis-
sioner, 55 T.C. 320, 325 (1970), affd. 454 F.2d 399 (7th Cir.
1971).
Deductions are strictly a matter of legislative grace, and
petitioner bears the burden of providing supporting evidence to
substantiate the claimed deductions. See Rule 142(a); INDOPCO,
Inc. v. Commissioner, 503 U.S. 79, 84 (1992). A taxpayer must
keep sufficient records to establish their amount. See sec.
6001. Except in the case of expenses subject to section 274, if
the taxpayer's records are inadequate or there are no records,
the Tax Court may still allow a deduction based on a reasonable
estimate, see Cohan v. Commissioner, 39 F.2d 540, 543-544 (2d
15Respondent makes no claim that these amounts, if otherwise
allowable, must be capitalized rather than deducted currently.
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