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reported by petitioner on the amended return) and that petitioner
was liable for an AMT of $4,802 for the 2000 taxable year.
Respondent also determined that petitioner was not entitled to
the additional itemized deductions claimed on the amended return
and made a downward adjustment of $243 to the total itemized
deductions claimed for that taxable year.
Discussion
The Commissioner’s determination is presumed correct, and
generally, a taxpayer bears the burden of proving otherwise.
Rule 142(a); Welch v. Helvering, 290 U.S. 111, 115 (1933).
Moreover, deductions are a matter of legislative grace, and the
taxpayer bears the burden of proving entitlement to any deduction
claimed. New Colonial Ice Co. v. Helvering, 292 U.S. 435, 440
(1934); Welch v. Helvering, supra at 115. This includes the
burden of substantiation. Hradesky v. Commissioner, 65 T.C. 87,
90 (1975), affd. per curiam 540 F.2d 821 (5th Cir. 1976).
The burden as to a factual issue relevant to the liability
for tax may shift to the Commissioner if the taxpayer introduces
credible evidence and satisfies the requirements under section
7491(a)(2) to substantiate items, maintain required records, and
fully cooperate with respondent’s reasonable requests. Sec.
7491(a). In the present case, the burden of proof remains on
petitioner because he has neither taken a position as to whether
the burden of proof should be placed on respondent nor
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