- 7 - itemized deductions and entered amounts into the spreadsheet software. He entered the totals from the spreadsheet software for each category into the tax return preparation software. Petitioners included a Schedule C, Profit or Loss From Business, for petitioner’s consulting activity with their income tax returns for 1999, 2000, and 2001. Petitioners reported that petitioner had business expenses of $19,700 in 1999, $123,908 in 2000, and $13,532 in 2001 which resulted in losses of $10,600 in 1999, $96,642 in 2000, and $11,028 in 2001. Petitioners deducted $5,500 that petitioners paid to Nelson Hesse on February 8 and April 16, 1999, on their 1999 income tax return in two places: On the Schedule C as a legal or professional expense; and on the Schedule A, Itemized Deductions, as a miscellaneous itemized deduction for attorney’s and accountant’s fees. Petitioners deducted their $900 charitable contribution twice on their 2000 income tax return: As a contribution of property; and as a contribution of cash. Petitioners deducted $7,500, which they claim to have paid to Special Friends in 2000 (but which they never paid), in three places on their 2000 return: On the Schedule A as an itemized charitable deduction; and on the Schedule C as an advertising expense and as an office expense.Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
Last modified: May 25, 2011