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Line 13, Depreciation and Section 179 Expense Deduction; Form
4562. A taxpayer who fails to make the election is denied the
benefits of section 179. See Visin v. Commissioner, supra; Verma
v. Commissioner, T.C. Memo. 2001-132; Fors v. Commissioner, T.C.
Memo. 1998-158; Starr v. Commissioner, T.C. Memo. 1995-190, affd.
without published opinion 99 F.3d 1146 (9th Cir. 1996).
Petitioners deducted $6,902.80 on Schedule C of their 2000
joint Form 1040. They failed to individually list the property
in respect of which they claimed this deduction. Mrs. Jackson
admitted at trial that petitioners did not attach Form 4562 to
their 2000 joint Form 1040. Respondent disallowed the entire
deduction, but conceded that petitioners are entitled to a
depreciation expense of $1,069.17 As petitioners failed to make
the section 179 election, they are not entitled to the benefits
of section 179. Accordingly, the Court sustains respondent on
this issue.
F. Miscellaneous Schedule C Deductions
On January 9, 2006, the night before trial, petitioners
presented to respondent various invoices to substantiate
additional expenses for 2001. Petitioners presented invoices for
advertising expenses, Internet design expenses, travel expenses,
mail and post office box expenses, and trade magazine expenses.
17Petitioners provided invoices for, inter alia, a Dell
computer, a digital camera, a scanner, and office furniture,
which substantiated $5,748.27 of their claimed deduction.
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