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percent limitation of section 274(n)); union dues and assessments
of $2,113; and work boots and clothing of $350. In the notice of
deficiency, respondent allowed a deduction of $1,694 for the
substantiated amount of Mr. Marple’s union dues and disallowed
all of the remaining deductions.7
Discussion
Deductions are a matter of legislative grace, and a taxpayer
must establish that he has satisfied the specific statutory
requirements for any deduction claimed.8 Rule 142(a); INDOPCO,
Inc. v. Commissioner, 503 U.S. 79, 84 (1992); New Colonial Ice
Co. v. Helvering, 292 U.S. 435, 440 (1934). Furthermore, a
taxpayer is required to keep records sufficient to enable the
Commissioner to determine whether the taxpayer is liable for tax.
See sec. 6001; sec. 1.6001-1(a), Income Tax Regs. A taxpayer
bears the burden of substantiating the amount and purpose of any
claimed deduction. See Hradesky v. Commissioner, 65 T.C. 87
(1975), affd. per curiam 540 F.2d 821 (5th Cir. 1976).
7 As noted, respondent has conceded that petitioners are
entitled to a deduction on Schedule A for the 3,304 business
miles attributable to Mr. Marple’s temporary employment with Eber
in 2002.
8 Sec. 7491(a), which shifts the burden of proof as to
factual matters to the Commissioner under certain circumstances,
does not apply because petitioners have neither alleged its
application nor established that they have satisfied the
preconditions for its application.
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Last modified: November 10, 2007