Scott Owen Schubert & Amy K. Moore - Page 5

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          Respondent allowed the standard deduction, which was larger than            
          petitioners’ itemized deductions as adjusted by respondent.                 
          Respondent’s adjustments resulted in a deficiency, and he                   
          determined an accuracy-related penalty under section 6662(a).               
               At trial, Mr. Schubert submitted into evidence revised Forms           
          2106-EZ, Unreimbursed Employee Business Expenses, which were                
          admitted into evidence as petitioners’ new position.  The revised           
          forms reduced Mr. Schubert’s claimed vehicle and business                   
          expenses to $10,233 and $2,283, respectively.  The revised forms            
          increased Ms. Moore’s claimed vehicle expenses to $15,176 and               
          reduced her business expenses to $9,225.  In the revised forms,             
          neither petitioner claimed deductions for travel, meals and                 
          entertainment, nor parking fees, tolls, and transportation.2                
          I.  Burden of Proof                                                         
               The Commissioner’s determinations in a notice of deficiency            
          are presumed correct, and the taxpayer has the burden to prove              
          that the determinations are in error.  Rule 142(a); Welch v.                
          Helvering, 290 U.S. 111, 115 (1933).  But the burden of proof on            
          factual issues that affect a taxpayer’s tax liability may be                

               2  Petitioners abandoned these issues at trial and in effect           
          conceded that the following claimed deductions were not proper:             
          (1) Travel; (2) meals and entertainment; (3) parking fees, tolls,           
          and transportation; and (4) $4,392 of the total $15,900 in                  
          business expenses.  Accordingly, respondent’s determination is              

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