Melvin W. Garrett - Page 7




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          his brother and mother being his dependents.  Section 2(b)(1)(A)            
          and (B), in pertinent part, defines a head of household as an               
          unmarried individual who                                                    
               maintains as his home a household which constitutes for more           
               than one-half of such taxable year the principal place of              
               abode, as a member of such household, of–-                             
               ****** *                                                               
                         (ii) any * * * dependent of the taxpayer, if the             
                    taxpayer is entitled to a deduction for the taxable               
                    year for such person under section 151 * * *                      
                    (B) maintains a household which constitutes for such              
               taxable year the principal place of abode of the father or             
               mother of the taxpayer, if the taxpayer is entitled to a               
               deduction for the taxable year for such father or mother               
               under section 151.                                                     
               Ignoring the question whether petitioner even maintained a             
          residence for his brother and/or his mother, as we have already             
          discussed, petitioner is not entitled to claim either as a                  
          dependent, and we sustain respondent’s determination that                   
          petitioner is not entitled to head of household filing status for           
          the years in issue.                                                         
          B.  Schedule C Losses                                                       
               Section 162(a) allows a deduction for ordinary and necessary           
          expenses paid or incurred in carrying on a trade or business.               
          Generally, under section 183(a) and (b) an individual is not                
          allowed deductions attributable to an activity “not engaged in              
          for profit” except to the extent of gross income generated by the           
          activity.  Section 183(c) defines an activity “not engaged in for           






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