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1.274-5T(b)(6), Temporary Income Tax Regs., 50 Fed. Reg. 46016
(Nov. 6, 1985). Petitioner failed to do so. Accordingly,
respondent’s determination regarding expenses subject to section
274, as modified by his concessions, is sustained.
10. Computer, Fax, and Printer
At trial, petitioner tried to establish she is entitled to
deduct as expenses computers, faxes, and printers. Section
274(d) applies to, among other things, computer and peripheral
equipment; however, there is an exception for such equipment used
exclusively at a regular business establishment and owned or
leased by the person operating such establishment. Secs.
274(d)(4), 280F(d)(4)(A)(iv), (B).
Regardless of whether section 274 applies or not (some of
the computers and peripheral equipment were at petitioner’s
nursing business office, and some were at the homes of
petitioner’s contractors), the evidence does not establish when
the computers, faxes, and printers were purchased or how much
they cost. As there is insufficient evidence to establish these
items were purchased during the years in issue, or if they were
so purchased a rational basis for making an estimate, we shall
not allow petitioner a deduction for these items. See Cohan v.
Commissioner, supra at 543-544; Vanicek v. Commissioner, supra at
742-743; see also secs. 274(d), 280F(d)(4)(A)(iv), (B).
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