- 15 - Under the “plan”, petitioner agreed that Aspiring Artists would pay up to the $500 deductible for Jennifer’s medical expenses not covered by her father’s insurance policy. Petitioner signed the handwritten document creating the “medical plan” agreement dated August 1, 1996. There were, however, outstanding medical expenses from March or earlier of 1996. From the record it appears as though these expenses stem from a period of time prior to their daughter's commencing her education at VSA. All the payments made with respect to Jennifer’s medical expenses were made by personal checks, most of them on checks drawn by Ms. Pickering. This Court finds that Jennifer’s medical expenses are not deductible on Schedule C as business expenses, but petitioners may claim them on Schedule A, Itemized Deductions, subject to the 7.5-percent limitation of section 213(a). Validity of the Notice of Deficiency Petitioners contend that the notice of deficiency issued by respondent is invalid because it specified July 4, 2000, a legal holiday, as the last day on which petitioners could file a petition with the Tax Court. The notice of deficiency states that if petitioners want “to contest this determination in court before making any payment, you have 90 days from the date of this letter * * * to file a petition with the United States Tax Court for a redetermination of the deficiency.” Petitioners urge this Court to hold that identifying a legal holiday as the lastPage: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 Next
Last modified: May 25, 2011