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6001; sec. 1.6001-1(a), Income Tax Regs. Petitioner bears the
burden of proof. Rule 142(a).3
If a taxpayer establishes that he or she paid a deductible
expense but cannot substantiate the precise amount, we may
estimate the amount of the deductible expense. Cohan v.
Commissioner, 39 F.2d 540, 544 (2d Cir. 1930); Vanicek v.
Commissioner, 85 T.C. 731, 742-743 (1985). The taxpayer must
present credible evidence that provides a rational basis for our
estimate. Vanicek v. Commissioner, supra. We may estimate the
taxpayer’s expenses bearing heavily against the taxpayer whose
“inexactitude is of his own making.” Cohan v. Commissioner,
supra; Maciel v. Commissioner, T.C. Memo. 2004-28.
Petitioner asks us to estimate the amount of his business
expense deductions under Cohan and contends that he is entitled
to deductions based on statistical information for the insurance
and financial products industries. We disagree. Cohan does not
apply because petitioner did not present evidence (statisticial
or otherwise) that he incurred deductible expenses greater than
the amount of the standard deduction allowed by respondent.
Thus, we have no basis to estimate the amount of his deductible
expenses.
3 Petitioner does not contend that the burden of proof
shifts to respondent under sec. 7491(a).
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