Darryl R. and Kristi L. Stephens - Page 6




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          deductions.  Of the expenses still in dispute,3 petitioners                 
          claimed they were entitled to deduct unreimbursed employee                  
          expenses related to Mr. Stephens’ NWA mechanic job.  The                    
          unreimbursed employee business expenses petitioners claimed                 
          include $6,413 of vehicle expenses and $2,501 of meals incurred             
          while Mr. Stephens worked in Minnesota.  Petitioners also claimed           
          that they were entitled to a $1,413 charitable contribution                 
          deduction.  Petitioners reported on the return that they donated            
          personal property to the Salvation Army in Minneapolis,                     
          Minnesota.  Petitioners produced a receipt at trial, however,               
          that shows a contribution of items to The Clothes Less Traveled             
          Thrift Shop, Inc., a charity in Peachtree City, Georgia, valued             
          at the same amount as the charitable contribution deduction they            
          claimed on the return.                                                      
               Petitioners timely filed a petition.                                   
                                     Discussion                                       
               The parties resolved many of the disputed expenses before              
          trial.  We are asked to determine whether petitioners are                   
          entitled to deduct the remaining expenses.  We begin by                     



               3Respondent concedes that petitioners are entitled to deduct           
          the State and local income taxes, real estate taxes, personal               
          property taxes, home mortgage interest, points, safety shoes,               
          union dues, and a portion of certain amounts for tools claimed on           
          the return for 2003.  Petitioners concede the deductions claimed            
          for cash contributions, a cellular phone, uniform maintenance,              
          depreciation, and a portion of the amount for tools.                        






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