- 8 -
$50,407, $36,560, and $37,246, respectively. Petitioner reported
a net Schedule C profit of $1,915 for 1991, a loss of $11,939 for
1992, and a loss of $15,610 for 1993.
D. Respondent’s Determination
Respondent issued a notice of deficiency and made the
following adjustments to Schedule C deductions by petitioner:
1991 1992 1993
ClaimedAllowed Dis- Claimed Allowed Dis- ClaimedAllowed Dis-
allowed allowed allowed
Advert. $210 $210 0 $948 $948 0 $975 $975 0
Car and 7,709 5,462 2,247 7,865 4,020 3,845 2,249 4,244 (1,995)
truck
Commission -- -- -- -- -- -- 288 0 288
Insurance408 362 46 1,104 1,104 0 1,935 2,034 (99)
Legal and696 696 0 898 898 0 407 407 0
prof. serv.
Office 4,829 2,758 2,071 8,535 2,195 6,340 9,308 1,451 7,857
expense
Rent -
Vehicle -- -- -- -- -- -- 3,734 0 3,734
Rent - 1,620 1,700 (80) 4,375 1,200 3,175 6,900 1,200 5,700
Other
Taxes 6 6 0 12 12 0 5 5 0
Travel 1,619 311 1,308 392 392 0 645 645 0
Meals/Ent.8,964 1,000 7,964 6,677 1,000 5,677 7,252 1,000 6,252
Utilities3,341 1,553 1,788 2,864 1,564 1,300 3,724 1,220 2,504
Wages 600 0 600 4,583 4,583 0 2,085 2,085 0
Donations 600 0 600 100 0 100 -- -- --
Payroll 1,015 1,015 0 1,040 1,049 (9) 222 249 (27)
Gifts 640 205 435 683 142 541 2,643 25 2,618
Cleaning
Supplies 949 0 949 -- -- -- 7,337 3,359 3,978
Outside
Services -- – – -- -- -- 1,487 1,425 62
Deprec. -- -- -- 0 303 (303) 0 641 (641)
Repairs/
Maint. –- -- -- -- -- -- 1,660 197 1,463
Total 33,206 15,278 17,928 40,076 19,410 20,666 52,856 21,162 31,694
Cost of Goods Sold
ClaimedAllowed Dis- Claimed Allowed Dis- ClaimedAllowed Dis-
allowed allowed allowed
Cost of
Labor 8,838 8,838 0 1,696 1,527 169 -- -- --
Material/
Supplies 6,448 4,932 1,516 6,702 3,827 2,875 -- -- --
Available15,286 13,770 1,516 8,398 5,354 3,044 -- -- –-
Also, for 1991, 1992, and 1993, respondent allowed
petitioner adjusted deductions of $1,373, $832, and $1,137,
Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
Last modified: May 25, 2011