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Star Bank during 1992 as a result of Mr. Garrett’s "conversion",
the record reflects that the bank had agreed to treat the $22,000
as a loan to petitioner and Mr. Garrett. The record also
reflects that the bank was still attempting to collect this loan
from Mr. Garrett in late 1992. In any event, no theft loss under
section 165 was claimed by either Amazona or petitioner for 1992.
We thus do not consider this theft loss issue to be properly
before us.
Petitioner has failed to establish he is entitled to deduct
a loss of $28,589 he reported from Amazona for 1992.
Accordingly, we hold that petitioner is not entitled to deduct
the loss he claimed from Amazona for 1992.
Issue 3. 1992 and 1994 Roadmaster Leasing Loss Deductions
Allowability of the Claimed Partnership Losses
As Roadmaster Leasing conducted no actual business activity,
financial operations, or venture during 1992 and 1994, petitioner
is not entitled to his claimed partnership business losses for
those years. On brief, petitioner argues he is still entitled to
those losses because he had an actual and honest profit objective
in investing in Roadmaster Leasing. However, the claimed
partnership business losses are simply not allowable to
petitioner where no business activity was actually carried on by
Roadmaster Leasing.11 Accordingly, we hold that petitioner is
11Petitioner also confuses his own individual intent with
(continued...)
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