Tibor Guenther Horwath and Christel Horwath - Page 20

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          Claimed Travel Expense Deduction                                            
               Petitioners argue that Mr. Horwath’s 1998 travel expenses              
          are deductible under section 162(a) as ordinary and necessary               
          business expenses because Mr. Horwath paid those travel expenses            
          while performing consulting services for TGC.  Respondent coun-             
          ters that petitioners are not entitled to a deduction for Mr.               
          Horwath’s 1998 travel expenses because Mr. Horwath was entitled             
          to a reimbursement by TGC for such expenses, which Mr. Horwath              
          elected not to request.                                                     
               On the record before us, we agree with respondent.  A                  
          taxpayer is not entitled to a deduction for expenses to the                 
          extent that such taxpayer is entitled to be reimbursed for such             
          expenses but does not claim such reimbursement.  See Levy v.                
          Commissioner, 212 F.2d 552, 554 (5th Cir. 1954), affg. a Memoran-           
          dum Opinion of this Court dated Mar. 9, 1953; Universal Oil                 
          Prods. Co. v. Campbell, 181 F.2d 451, 475 (7th Cir. 1950); see              
          also Lucas v. Commissioner, 79 T.C. 1, 7 (1982); Kennelly v.                
          Commissioner, 56 T.C. 936, 943 (1971), affd. without opinion 456            
          F.2d 1335 (2d Cir. 1972); Stolk v. Commissioner, 40 T.C. 345, 356           
          (1963), affd. per curiam 326 F.2d 760 (2d Cir. 1964); Podems v.             
          Commissioner, 24 T.C. 21, 22-23 (1955); Roach v. Commissioner, 20           
          B.T.A. 919, 925-926 (1930).  Mr. Horwath was entitled to a                  
          reimbursement by TGC for Mr. Horwath’s 1998 travel expenses.                
          However, he chose not to be reimbursed for those expenses.                  






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