- 4 - deduction for medical and dental expenses. Of the $4,815 deducted by petitioners for home mortgage interest, $4,146 was allowed, and $2,788 of the $5,150 deducted as charitable contributions was allowed. Of the $6,039 deducted as unreimbursed employee business expenses, $1,736 was allowed. No adjustment was made for the $753 in real estate taxes deducted by petitioners. Thus, of the total $20,514 claimed as deductions, respondent allowed deductions of $9,423 and disallowed $11,091. All the amounts disallowed were for lack of substantiation. With respect to Schedule C, involving petitioner's activity as a minister, respondent's determinations were as follows, all relating to expenses deducted: Claimed on Allowed by Return Respondent Car and truck $2,031 $2,031 Commissions and fees 1,048 -0- Insurance 250 250 Seminars 1,550 480 Robes, special gear, oils, and incense 1,205 -0- Educational, books, etc. 2,887 200 Totals $8,971 $2,961 No adjustments were made to petitioners' reported gross income. The deductions also were disallowed for lack of substantiation. As a result of the Schedule C adjustments, respondent determined that petitioner realized a net profit from his ministry, thus resulting in a liability for self-employment tax under sectionPage: Previous 1 2 3 4 5 6 7 8 Next
Last modified: May 25, 2011