Russell B. Ritchie - Page 6

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          affg. 27 T.C. 413 (1956); Cohan v. Commissioner, 39 F.2d 540,               
          543-544 (2d Cir. 1930).  In order for the Court to estimate the             
          amount of an expense, however, the Court must have some basis               
          upon which an estimate may be made.  See Vanicek v. Commissioner,           
          85 T.C. 731, 742-743 (1985).  Without such a basis, an allowance            
          would amount to unguided largesse.  See Williams v. United                  
          States, 245 F.2d 559, 560 (5th Cir. 1957).                                  
               Certain business deductions described in section 274 are               
          subject to strict rules of substantiation that supersede the                
          doctrine in Cohan v. Commissioner, supra.  See sec. 1.274-5T(c),            
          Temporary Income Tax Regs., 50 Fed. Reg. 46016 (Nov. 6, 1985).              
          Section 274(d) provides that no deduction shall be allowed with             
          respect to:  (a) Any traveling expense, including meals and                 
          lodging away from home; (b) any item related to an activity of a            
          type considered to be entertainment, amusement, or recreation; or           
          (c) the use of any “listed property”, as defined in section                 
          280F(d)(4), unless the taxpayer substantiates certain elements.             
          “Listed property” includes any passenger automobile, sec.                   
          280F(d)(4)(A)(i), and any cellular telephone, sec.                          
          280F(d)(4)(A)(v).                                                           
               To meet the requirements of section 274(d) the taxpayer must           
          present adequate records or sufficient evidence to corroborate              
          the taxpayer’s own testimony to establish:  (1) The amount of the           
          expenditure or use based on the appropriate measure (mileage may            






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