- 4 -
that he had paid alimony of $9,000 to Mrs. Desauguste during
1999.
Respondent issued a notice of deficiency determining that
petitioner is not entitled to claim head of household filing
status or an alimony deduction for 1999 because he failed to
substantiate his claims. Respondent also determined petitioner
is liable for an addition to tax for failure to timely file his
1999 tax return.
Discussion
Respondent’s determinations are presumed correct, and
petitioner bears the burden of proving otherwise. Welch v.
Helvering, 290 U.S. 111, 115 (1933). Moreover, deductions are a
matter of legislative grace, and petitioner bears the burden of
proving that he is entitled to any deduction claimed. New
Colonial Ice Co. v. Helvering, 292 U.S. 435, 440 (1934); Welch v.
Helvering, supra. 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). Under section 7491(a)(1), the
burden of proof may shift to the Commissioner. Because the
alimony deduction issue is a question of law, section 7491 is
inapplicable, and the Court decides the issue without regard to
the burden of proof. Under section 7491(c), respondent retains
the burden of production with respect to petitioner’s liability
for any penalties or additions to tax.
Page: Previous 1 2 3 4 5 6 7 8 9 10 11 Next
Last modified: May 25, 2011