- 12 -
rule, section 7491(a) places upon the Commissioner the burden of
proof with respect to any factual issue relating to liability for
tax if the taxpayer maintained adequate records, satisfied the
substantiation requirements, cooperated with the Commissioner,
and introduced during the Court proceeding credible evidence with
respect to the factual issue. Although neither party alleges the
applicability of section 7491(a), we conclude that the burden of
proof has not shifted to respondent with respect to any of the
issues in the present case.
Deductions are a matter of legislative grace and are allowed
only as specifically provided by statute, and, as previously
stated, petitioner bears the burden of proving that he is
entitled to the claimed deductions. INDOPCO, Inc. v.
Commissioner, 503 U.S. 79, 84 (1992); New Colonial Ice Co. v.
Helvering, 292 U.S. 435, 440 (1934).
1. Car and Truck Expenses
As previously stated, petitioner claimed a car and truck
expense deduction of $5,126 on his 2000 Schedule C. However, as
previously noted, at trial, petitioner conceded that due to a
miscalculation the proper amount of the car and truck expense
deduction that should have been claimed was $4,544; i.e., 13,980
miles at 32.5 cents per mile. Respondent, in the 2000 notice of
deficiency, disallowed $2,710 of the claimed Schedule C car and
truck expense deduction, allowing the remainder of $2,416.
Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 Next
Last modified: May 25, 2011