Stephen T. Fan and Landa C. Fan - Page 11

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               It is our view that petitioner did not purchase the system,            
          in lieu of using handwritten notes, so as to be in compliance               
          with the ADA.  Section 44 was enacted as part of the Omnibus                
          Budget Reconciliation Act of 1990, Pub. L. 101-508, sec.                    
          11611(a), 104 Stat. 1388-501, and is intended to complement the             
          ADA by providing “relief to small businesses making the                     
          accommodations required by the ADA.”  136 Cong. Rec. S12852                 
          (daily ed. Sept. 12, 1990) (statement by Senator Kohl).  The                
          legislative history indicates that the Congress was concerned               
          that the requirements contained in the ADA may impose a severe              
          financial burden on certain small businesses.  See H. Conf. Rept.           
          101-964, at 1138-1140 (1990).  To alleviate the burden, the                 
          Congress provided small businesses with a tax credit for a                  
          portion of the costs incurred in complying with the ADA.  See id.           
          If the expenditure was not made to enable compliance with the               
          ADA, then the expenditure does not qualify for credit under                 
          section 44.                                                                 
               In this case, petitioner’s acquisition of the system did not           
          enable him to comply with the ADA–-he was already in compliance             
          with the ADA through the use of handwritten notes to communicate            
          with his hearing-impaired patients.  Furthermore, the system                
          is not a replacement or substitute for the use of handwritten               
          notes.  It follows that cost of the system is not an eligible               
          access expenditure within the meaning of section 44(c), and,                

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