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3. The time and effort expended by the taxpayer in
carrying on the activity.
Respondent argues that petitioner could not have devoted
enough time and effort to the horse activity to make it
profitable in 1993. As support for this claim, respondent relies
on the facts that petitioner maintained her law practice in
Huntington Beach, California, during the entire 1993 taxable year
and that the driving distance from petitioner’s home in
Huntington Beach, California, to the location of her horse
activity in Julian, California, is approximately 120 miles. From
these facts, respondent argues that petitioner would only have
been able to devote any substantial time and effort to her horse
activity on an occasional weekend or holiday. Petitioner claims,
however, to have spent a significant amount of time conducting
her horse activity in 1993. She claims that until June 1993, she
spent 4 days per week conducting horse activity in Julian,
California. Petitioner also claims that, starting at the end of
June 1993, she spent 6 days per week conducting horse activity in
Julian, California. Petitioner also testified that she purchased
a trailer in 1993, presumably to serve as her residence while
conducting horse activity in Julian, California. Petitioner also
claims that she began to scale back her law practice during 1993
due to her age, the health of her mother, and the increase in her
horse activity. Petitioner offered no corroborating evidence to
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