James M. and Ruth J. Riley - Page 4

                                        - 3 -                                         
               The issues for decision are:                                           
               (1)  Whether petitioners are entitled to the deductions for            
          depreciation of farm buildings and drainage tile that they                  
          claimed on Schedules F, Profit or Loss From Farming, for 2001,              
          2002, and 2003;                                                             
               (2)  whether petitioners are entitled to elect under section           
          179 to expense in 2002 a portion of the cost of a truck placed in           
          service in 2001;                                                            
               (3)  whether petitioners are entitled to deductions for                
          travel expenses they claimed on Schedules F and Schedules E,                
          Supplemental Income and Loss, for 2001, 2002, and 2003; and                 
               (4)  whether petitioners are liable for the accuracy-related           
          penalty under section 6662(a) for each of the years at issue.               
               Some of the facts have been stipulated and are so found.               
               At the time the petition was filed petitioners resided in              
          Salt Lake City, Utah.                                                       
               James M. Riley (petitioner) worked as an extracting                    
          metallurgist for the Department of the Interior from 1953 to                
          1983.  Petitioner’s father and grandfathers were cattle feeders.            
          Petitioner began his cattle feeding activity while he was                   
          employed with the Department of the Interior.  He was familiar              
          with real estate transactions and bought and sold feeder cattle             

Page:  Previous  1  2  3  4  5  6  7  8  9  10  11  12  13  14  15  16  17  18  19  20  Next

Last modified: May 25, 2011