- 52 - same information with respect to the name of the proprietor, principal business, business name and address, EIN, accounting method, and method used to value closing inventory as they had reported in the 1994 Schedule C. In addition, the 1995 Schedule C requested, and petitioners provided, inter alia, the following information: Information Requested Information Provided Gross receipts $4,217,062 Returns and allowances 16 Cost of goods sold 2,340,822 Gross profit 1,876,224 Other income -- Gross income 1,876,224 Total expenses 1,973,107 Expenses for business use of your home -- Net profit or (loss) (96,883) Inventory at beginning of year 442,197 Purchases less cost of items withdrawn for personal use 1,898,625 Cost of labor -- Materials and supplies -- Inventory at end of year 0 Included in the total expenses reported in the 1995 Schedule C was automobile depreciation in the amount of $9,400 for peti- tioners’ two automobiles. Attached to petitioners’ 1995 joint return was Form 4562. In Part V, Section B of that form, peti- tioners claimed total miles and total business miles of 5,000 with respect to the Cadillac and 3,000 with respect to the Corvette. In Part V, Section A of that form, petitioners indi- cated that they had written evidence to support the claimed business use of petitioners’ two automobiles. As of the date of the trial in this case, petitioners hadPage: Previous 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 58 59 60 61 Next
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