Fabian Vaksman - Page 8




                                        - 8 -                                         
          taxpayer.  See Sanford v. Commissioner, 50 T.C. 823, 827 (1968),            
          affd. per curiam 412 F.2d 201 (2d Cir. 1969); Golden v.                     
          Commissioner, T.C. Memo. 1993-602; sec. 1.274-5T(a), Temporary              
          Income Tax Regs., 50 Fed. Reg. 46014 (Nov. 6, 1985).  “Listed               
          property” is defined to include a passenger automobile.  Sec.               
          280F(d)(4)(A)(i).                                                           
               In order to be allowed a deduction with respect to listed              
          property, the taxpayer must substantiate the deduction by                   
          adequate records, or by sufficient evidence corroborating the               
          taxpayer’s own statement, showing: (1) The amount of such expense           
          or other item; (2) the time and place of the use of the property;           
          and (3) the business purpose of the expense or other item.  See             
          sec. 274(d); see also sec. 1.274-5T(b)(6), Temporary Income Tax             
          Regs., 50 Fed. Reg. 46016 (Nov. 6, 1985) (regarding the requisite           
          elements to be substantiated with respect to any listed                     
          property); sec. 1.274-5T(c), Temporary Income Tax Regs., 50 Fed.            
          Reg. 46016 (Nov. 6, 1985) (regarding the specific rules of                  
          substantiation).                                                            
               In view of the foregoing, we sustain respondent’s                      
          determination and hold that petitioner is not entitled to any               
          deduction for depreciation on his automobile.8                              

               8  The record demonstrates that petitioner may also not be             
          entitled to the other automobile-related deduction ($2,048) that            
          he claimed on Schedule C.  See sec. 274(d)(4).  However,                    
          respondent did not disallow this deduction in the notice of                 
                                                             (continued...)           





Page:  Previous  1  2  3  4  5  6  7  8  9  10  11  12  13  14  15  Next

Last modified: May 25, 2011