- 4 - factual issues may shift to the Commissioner where the taxpayer introduces credible evidence and complies with substantiation requirements, maintains records, and cooperates fully with reasonable requests for witnesses, documents, and other information. Petitioner has not met the requirements of section 7491(a) because he has not met the substantiation requirements or introduced credible evidence to support the deductions and credits at issue. 1. Dependency Exemptions Section 151(c) allows a taxpayer to deduct an annual exemption amount for each dependent of the taxpayer. As applied in this context, the definition of a “dependent” under section 152(a) includes a son3 or the daughter of a brother4 over half of whose support was received from the taxpayer. “[W]here there is no evidence as to the total amount expended for support of the child during the taxable year and no evidence from which it can reasonably be inferred, it is not possible to conclude that the taxpayer has contributed more than one-half.” Stafford v. Commissioner, 46 T.C. 515, 518 (1966). If a child receives over half of his support during the calendar year from his parents, who live apart at all times during the last 6 months of the calendar year, and such child is in the custody of one or both of 3 Sec. 152(a)(1). 4 Sec. 152(a)(6).Page: Previous 1 2 3 4 5 6 7 8 9 Next
Last modified: May 25, 2011