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his residence. Petitioner’s installation exhibit that consisted
of dolls received media attention. The exhibit was the subject
of two newspaper articles in September 1994 and was mentioned in
a newspaper article in September 1995. Petitioner’s income from
the installation displays consisted of donations that totaled
$88.04.
OPINION
Petitioner previously litigated the issue of whether his
artist activity was engaged in for profit within the meaning of
section 183(c) for 1988, 1989, 1990, and 1991. In Stasewich v.
Commissioner, T.C. Memo. 1996-302, the Court held that
petitioner’s artist activity was not engaged in for profit within
the meaning of section 183(c) for 1988 through 1991. Respondent,
in this case, determined that petitioner’s artist activity was
not entered into for profit under section 183(c) for 1992, 1993,
1994, and 1995.
I. Activity Not Engaged in for Profit Under Section 183(c)
The threshold issue presented is whether petitioner’s artist
activity was not engaged in for profit within the meaning of
section 183(c). Section 183, in general, limits the amount of
deductions for an activity not entered into for profit to the
amount of the activity’s income. See sec. 183(b).
Section 183(c) defines an activity not engaged in for profit
as “any activity other than one with respect to which deductions
are allowable for the taxable year under section 162 or under
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