Vincent J. Boido, Jr. and Christine P. Boido - Page 7

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          there was nothing to collect” because Ms. Thiellesen “wasn’t                
          making much income.”                                                        
               Petitioners timely filed a joint Federal income tax return             
          for 2000 using the cash basis method of accounting.  On their               
          return, petitioners claimed a deduction for alimony payments to             
          Ms. Thiellesen in the amount of $34,352.                                    
               In the notice of deficiency, respondent disallowed                     
          petitioners’ claimed alimony deduction.  Petitioners timely filed           
          a petition with this Court challenging the notice of deficiency.            
          Discussion9                                                                 
               Deductions are strictly a matter of legislative grace, and a           
          taxpayer bears the burden of proving his or her entitlement to              
          the claimed deductions.  Rule 142(a)(1); see New Colonial Ice Co.           
          v. Helvering, 292 U.S. 435, 440 (1934); Welch v. Helvering, 290             
          U.S. 111, 115 (1933); cf. sec. 7491(a)(2).                                  
               Petitioner concedes that he is a cash basis taxpayer.  As              
          such, he may deduct expenditures only in the year paid.  Secs.              
          446, 461; secs. 1.446-1(c)(1), 1.461-1(a)(1), Income Tax Regs.              
               A.  Alimony Deduction                                                  
               The first issue for decision is whether payments totaling              
          $34,352 made to petitioner’s former spouse are deductible as                
          alimony.  We hold that they are not.                                        

               9  We need not decide whether sec. 7491, concerning burden             
          of proof, applies in this case because petitioner did not allege            
          that sec. 7491 was applicable, and the issues are essentially               
          legal in nature.  See Higbee v. Commissioner, 116 T.C. 438                  
          (2001).                                                                     




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