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substantiation for the deduction of “other” business expenses.
Petitioner’s cell phone was a personal phone that he also
used for business calls. Petitioner testified that he paid a
flat rate, regardless of phone usage. Therefore, aside from the
personal expense of the phone, which is rendered nondeductible
under section 262, he incurred no additional charge for business
use. To the extent he did incur an additional charge for
business use, petitioner’s evidence fails to meet the
substantiation requirements of section 274(d).
Petitioner did not show the relationship between the
miscellaneous receipts, some of which are unreadable, and the
continuation of his employment. The Court therefore finds that
all of petitioner’s “other expenses” are nondeductible personal
expenses.
Job-Seeking Expenses
Petitioner deducted job seeking expenses of $2,230.
Deductible job-seeking expenses include those incurred while
searching for different employment in the employee’s same trade
or business. Glenn v. Commissioner, 62 T.C. 270 (1974); Cremona
v. Commissioner, 58 T.C. 219 (1972); see also Rev. Rul. 75-120,
1975-1 C.B. 55, clarified by Rev. Rul. 77-16, 1977-1 C.B. 37. If
the employee is seeking a job in a new trade or business,
however, the expenses are not deductible under section 162(a).
Dean v. Commissioner, 56 T.C. 895 (1971).
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