David J. Boyd - Page 12

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          to and from work, such expenses are considered nondeductible                
          personal living expenses.  Sullivan v. Commissioner, 45 T.C. 217            
          (1965), affd. 368 F.2d 1007 (2d Cir. 1966); sec. 1.262-1(b)(5),             
          Income Tax Regs.  The parking, car and truck, travel, meals,                
          entertainment, and membership fee expenses were not properly                
          substantiated under the cited legal standards.  Petitioner,                 
          therefore, is not entitled to deductions in excess of amounts               
          allowed by respondent.                                                      
               Section 170 allows a deduction for charitable contributions            
          during the taxable year, if verified as provided in the                     
          regulations.  Sec. 170(a)(1).  Ordinarily, charitable                       
          contributions are deducted on Schedule A, pursuant to section               
          170.  However, an individual may be entitled to claim a payment             
          to a charitable organization as a trade or business expense on              
          Schedule C, if no part of such payment is allowable under section           
          170.  Sec. 1.162-15(a), Income Tax Regs.  Generally, such a                 
          payment may be claimed as a deduction on Schedule C to the extent           
          that it bears a direct relationship to the taxpayer’s trade or              
          business and is made with a reasonable expectation of a financial           
          return commensurate with the amount of the payment.  Cf. sec.               
          1.162-15(b), Income Tax Regs.                                               
               Although petitioner did not substantiate his claimed                   
          charitable contributions with written documentation, the Court is           
          satisfied that petitioner did make some payments qualifying as              






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