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B. Automobile Expenses
Respondent contends that, under section 162(a), petitioner
is not entitled to the disputed automobile business expense
deduction because petitioner (a) failed to substantiate that the
expenses (1) were incurred and (2) were ordinary and necessary
expenses of petitioner’s trade or business, and (b) failed to
meet the strict record-keeping requirements of section 274(d).
Petitioner maintains that the requirements of section 162(a)
are satisfied, at least to the extent of $15,220, the total of
the charges on the nine American Express monthly statements in
the record.
We agree with respondent.
A taxpayer seeking a deduction has the burden of overcoming
the presumption of correctness that attaches to the
Commissioner’s factual determinations in the notice of
deficiency. See Rule 142(a); New Colonial Ice Co. v. Helvering,
292 U.S. 435, 440 (1934); Welch v. Helvering, 290 U.S. 111, 115
(1933).
Section 162(a) allows a deduction for “all the ordinary and
necessary expenses paid or incurred during the taxable year in
carrying on any trade or business”. E.g., Lucas v. Commissioner,
79 T.C. 1, 6 (1982). Under section 6001 and section 1.6001-(a)
and (e), Income Tax Regs., a taxpayer must keep such permanent
books of account or records as are sufficient to establish the
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