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pling method of substantiation. That is because, on the record
before us, we find that petitioners have failed to show that the
Burien Nissan automobiles that each of them used during each year
at issue were not made available for use by more than one Burien
Nissan employee for all or a portion of each such year. See sec.
1.274-5T(c)(3)(ii)(B), Temporary Income Tax Regs., 50 Fed. Reg.
46021 (Nov. 6, 1985).
Assuming arguendo that petitioners had shown (1) that,
without regard to section 274(d) and the regulations thereunder,
any payment by them for Mr. Whitehead’s use of certain Burien
Nissan automobiles would be allowable as a deduction under
section 162 or section 167 and (2) that they are entitled to use
the sampling method of substantiation, we must consider whether
petitioners have met the requirements of that method. In support
of petitioners’ contention that 50 percent of Mr. Whitehead’s use
of certain Burien Nissan automobiles during the years at issue
constituted a business use, petitioners rely on the purported
mileage log that petitioners claim Mr. Whitehead maintained
during January through March 1996 (test period). We have found
that purported log to be questionable and not reliable.33 In
33Assuming arguendo that we had relied on the purported
mileage log, on the record before us, we find that that purported
log does not meet the adequate records requirement under sec.
1.274-5T(c)(2)(i) and (ii), Temporary Income Tax Regs., 50 Fed.
Reg. 46017 (Nov. 6, 1985). We find on the record before us that
the purported mileage log did not contain a written statement of
(continued...)
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