- 8 -
E. Petitioner’s 1995 Income Tax Return
Petitioner filed a Federal income tax return for 1995 and
claimed thereon a disabled access credit in the amount of $3,887.
In support of the credit, petitioner attached to his return Form
8826, Disabled Access Credit, on which he computed the credit as
follows:
Total eligible access expenditures
Panoramic x-ray machine $5,000
Wehmer x-ray machine 2,725
Rare earth cassette 299 $8,024
less: Minimum amount -250
Balance 7,774
Applicable percentage 50%
Disabled access credit 3,887
F. Respondent’s Notice of Deficiency
In the notice of deficiency, respondent disallowed the
disabled access credit for 1995 on the ground that the panoramic
x-ray machine, the Wehmer x-ray machine, and the rare earth
cassette do not constitute eligible access expenditures within
the meaning of section 44. Rather, respondent treated the cost
of acquiring the x-ray machines and cassette “as a depreciation
expense under Section 179”.
G. Petitioner’s Contentions
Petitioner candidly admits that his purchase of the
panoramic and Wehmer x-ray machines was not motivated by any
requirement of the ADA and that both machines are “usable to
provide services to patients without disabilities as well as
Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 Next
Last modified: May 25, 2011