Cherenor Mansaray Smith - Page 4

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          national of the United States unless such individual is a                   
          resident of the United States or of a country contiguous to the             
          United States.”                                                             
               During the taxable year in issue, petitioner’s mother was              
          neither a citizen or national of the United States, nor a                   
          resident of the United States or country contiguous to the United           
          States.  Therefore, petitioner’s mother is excluded from the                
          definition of “dependent” under section 152(b)(3).  Unfortunately           
          for petitioner, she may not deduct the medical expenses she so              
          generously paid on behalf of her mother.                                    
               We now turn to the remaining claimed Schedule A deductions             
          for taxes, contributions, and miscellaneous expenses.  Deductions           
          are strictly a matter of legislative grace.  INDOPCO, Inc. v.               
          Commissioner, 503 U.S. 79, 84 (1992); New Colonial Ice Co. v.               
          Helvering, 292 U.S. 435, 440 (1934).  Taxpayers must substantiate           
          any deductions claimed.  Hradesky v. Commissioner, 65 T.C. 87,              
          89-90 (1975), affd. per curiam 540 F.2d 821 (5th Cir. 1976).                
          Taxpayers must maintain sufficient records to establish the                 
          amount of claimed deductions.  Sec. 6001; sec. 1.6001-1(a),                 
          Income Tax Regs.  Section 7491 is inapplicable because petitioner           
          has not complied with the requisite substantiation requirements.            
          Sec. 7491(a)(2)(A).                                                         
               When a taxpayer fails to keep records, but a court is                  
          convinced that deductible expenditures were made, the court                 






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