- 2 - Respondent determined a deficiency of $10,226 in petitioner's 1994 Federal income tax. The sole issue for decision is whether petitioner, under section 170(a), is entitled to an itemized deduction of $55,000 for a charitable contribution resulting from the bargain sale of a boat to a qualified tax-exempt organization in lieu of $22,960 allowed by respondent in the notice of deficiency. Some of the facts were stipulated. Those facts and the accompanying exhibits are so found and are incorporated herein by reference. Petitioner's legal residence at the time the petition was filed was Wetumpka, Alabama. Petitioner is a franchised automobile dealer engaged in the sale of new and used motor vehicles. At the time of trial, petitioner had been engaged in this business 30 years. Petitioner held a Chevrolet and Oldsmobile franchise and another franchise for Chrysler, Plymouth, Jeep, and Dodge vehicles. This latter franchise was located at Troy, Alabama. On March 1, 1991, petitioner purchased at public auction a pleasure boat for $53,500.2 The boat was a 1989 model Sea Ray 2 There is a conflict in the evidence as to the date petitioner purchased the boat. The written stipulation and petitioner's tax return for 1994 state the date of purchase was March 1, 1991; however, at trial, petitioner testified he purchased the boat in December 1991. The difference in dates is not material to deciding the issue. In addition, there is a conflict in the evidence as to the amount petitioner paid for the (continued...)Page: Previous 1 2 3 4 5 6 7 8 9 Next
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