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and place of the use, and the business purpose of the use by
adequate records or sufficient evidence to corroborate the
taxpayer’s own statement. See sec. 274(d); sec. 1.274-5T(b),
Temporary Income Tax Regs., 50 Fed. Reg. 46014 (Nov. 6, 1985).
Adequate records for purposes of section 274(d) include an
account book, diary, log, statement of expense, trip sheets, or
similar records. See sec. 1.274-5T(c)(2), Temporary Income Tax
Regs., 50 Fed. Reg. 46017 (Nov. 6, 1985). If a taxpayer does not
substantiate the travel expense as required by section 274(d), he
is not entitled to a deduction for the expense no matter how
plausible it may be that he paid the expense. For expenses
covered by section 274, the proposition is simple--a taxpayer who
cannot prove the expense loses the deduction.
In this case, petitioner offered no probative evidence as
required by section 274(d) to substantiate his car and truck
expenses. The only evidence in the record is petitioner’s
general testimony concerning his use of the two vehicles and some
odometer readings for 1993, which are not consistent with the
mileage claimed on petitioner’s 1993 return. This evidence falls
far short of the substantiation required by section 274(d).
Respondent’s determination as to petitioner’s claimed car and
truck expenses, therefore, must be sustained.
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