- 6 -
proving an error is on the taxpayer. Rule 142(a); Welch v.
Helvering, 290 U.S. 111, 115 (1933).5
Petitioners argue that our Memorandum Opinion in Vitale v.
Commissioner, T.C. Memo. 1999-131, affd. without published
opinion 217 F.3d 843 (4th Cir. 2000), sets a precedent for the
allowance of their research and travel expenditures in 2001, and
that it would be discrimination if their expenditures were
disallowed. Approximately 2 years before he became eligible to
retire from his full-time job (1992), the taxpayer in Vitale
began writing with the hope of starting a second career as an
author. In 1992, he wrote a book-length fictional manuscript and
a collection of short stories. In 1993, the taxpayer wrote an
18,000-word draft of a third book, which he submitted for
copyright registration in June of that year. In October 1993,
the taxpayer entered into a publication agreement for the third
book. He also actively participated in the promotion of his
book. During 1993, the taxpayer incurred costs conducting
interviews and performing research for the copyrighted book. On
his 1993 Federal income tax return, the taxpayer for the first
5 Pursuant to sec. 7491(a), the burden of proof as to
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. Because petitioners have failed to provide credible
evidence to support their claim, the burden of proof remains with
them.
Page: Previous 1 2 3 4 5 6 7 8 9 10 Next
Last modified: November 10, 2007