Joyce H. Sams - Page 20




                                       - 19 -                                         
          beyond the taxpayer’s control.  Sec. 1.274-2(c)(3), Income Tax              
          Regs.                                                                       
               A taxpayer must satisfy the same substantiation requirements           
          of section 274(d) for listed property as defined under section              
          280F(d)(4).  Listed property includes any cellular telephone (or            
          similar telecommunications equipment).  Sec. 280F(d)(4)(A)(v).              
               Under section 274(b) deductions for gifts made by the                  
          taxpayer to an individual are not allowed to the extent that such           
          expense, when added to prior expenses of the taxpayer for gifts             
          made to such individual during the taxable year, exceeds $25.               
          Sec. 1.274-3(a), Income Tax Regs.  The business gift must also be           
          ordinary and necessary under section 162.                                   
               Because petitioner provided supporting canceled checks,                
          invoices and bills, and other substantiating information, we are            
          satisfied that petitioner has provided credible evidence and                
          satisfied the requirements of section 162 and (if applicable)               
          section 274(a)(1), (2)(A), and (d) concerning the time, place of            
          use, business purpose of, and business relationship to clients,             
          with respect to the following claimed expenses:                             















Page:  Previous  8  9  10  11  12  13  14  15  16  17  18  19  20  21  22  23  24  25  26  27  Next

Last modified: May 25, 2011