- 2 - Respondent determined a deficiency of $16,319 and a penalty under section 6662 of $2,272.20 in petitioner’s 1999 Federal income tax. The issue is whether petitioner is entitled to a casualty loss deduction under section 165 in an amount greater than $9,448 allowed by respondent.2 Petitioner resided in Lorton, Virginia, at time the petition was filed. Background The facts may be summarized as follows. Petitioner is a professor of economics. In addition, he has published books and articles concerning Africa. In February, 1999, petitioner’s office at the university at which he taught was destroyed by fire. Included in the destruction were items of personal property belonging to petitioner. On his 1999 Federal income tax return, petitioner claimed a casualty loss deduction for the following: Books on economics $2,000 Books by “famous authors” 1,000 Books on Africa 5,000 African journals & magazines 3,000 Book manuscript 15,000 Memorabilia (awards, plaques, etc.) 3,000 Briefcases, fans, etc. 2,000 Computer printer 250 Labor/inconvenience/distress 2,000 2 Petitioner concedes that he received other income of $1,000, a distribution from an individual retirement account of $24,792, income from a discharge of indebtedness of $4,696, and interest income of $36. On his 1999 Schedule A, Itemized Deductions, petitioner claimed a deduction of $21,042.98 for miscellaneous expenses. Petitioner concedes that $11,737 of those deductions are not allowable. Respondent concedes that petitioner is entitled to an additional prepayment credit of $4,958.Page: Previous 1 2 3 4 5 6 7 8 Next
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