- 8 -
$4,635.90, $2,043.17, and $773.20, respectively. We conclude
that Mr. Maher is entitled to deduct these amounts as alimony.
We found that Mr. Maher paid homeowners insurance on 305
Livermore totaling $812. Accordingly, one-half of the homeowners
insurance equals $406. We conclude that Mr. Maher is entitled to
deduct this amount as alimony.
We found that Mr. Maher paid $2,688 in health insurance
premiums in 1998 and that 30 percent of Mr. Maher’s health care
premiums were for the benefit of Mrs. Maher. Accordingly, we
conclude that Mr. Maher is entitled to deduct $806.40 of the
health care premiums as alimony.
The evidence establishes that Mr. Maher paid $2,364 in
automobile insurance in 1998. When a taxpayer establishes that
he has incurred a deductible expense but is unable to
substantiate the exact amount, we can estimate the deductible
amount, but only if the taxpayer presents sufficient evidence to
establish a rational basis for making the estimate. See Cohan v.
Commissioner, 39 F.2d 540, 543-544 (2d Cir. 1930); Vanicek v.
Commissioner, 85 T.C. 731, 742-743 (1985). On the basis of the
record presented, we estimate that one-half of the automobile
insurance was attributable to Mrs. Maher. Accordingly, we
conclude that Mr. Maher is entitled to deduct $1,182 of the
automobile insurance as alimony.
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