Fisher v. Commissioner

1979 T.C. Memo. 191, 38 T.C.M. 807, 1979 Tax Ct. Memo LEXIS 329
CourtUnited States Tax Court
DecidedMay 17, 1979
DocketDocket No. 720-77.
StatusUnpublished

This text of 1979 T.C. Memo. 191 (Fisher v. Commissioner) is published on Counsel Stack Legal Research, covering United States Tax Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Fisher v. Commissioner, 1979 T.C. Memo. 191, 38 T.C.M. 807, 1979 Tax Ct. Memo LEXIS 329 (tax 1979).

Opinion

RICHARD AND ELIZABETH FISHER, Petitioners v. COMMISSIONER OF INTERNAL REVENUE, Respondent
Fisher v. Commissioner
Docket No. 720-77.
United States Tax Court
T.C. Memo 1979-191; 1979 Tax Ct. Memo LEXIS 329; 38 T.C.M. (CCH) 807; T.C.M. (RIA) 79191;
May 17, 1979, Filed
Richard Fisher, pro se.
George Mac Vogelei, for the respondent.

DAWSON

MEMORANDUM FINDINGS OF FACT AND OPINION

DAWSON, Judge: This case was assigned to and heard by Special Trial Judge Murray H. Falk pursuant to the provisions of section 7456(c) of the Internal Revenue Code1 and Rules 180 and*330 181, Tax Court Rules of Practice and Procedure.2 The Court agrees with and adopts his opinion which is set forth below.

OPINION OF THE SPECIAL TRIAL JUDGE

FALK, Special Trial Judge: Respondent determined deficiencies of $55.47 and $397, respectively, in petitioners' 1973 and 1974 federal income taxes. At issue is whether petitioners are entitled to deductions under section 162 for certain transportation and meals expenses incurred by petitioner Richard Fisher.

FINDINGS OF FACT

Some facts have been stipulated, and they are so found.

Petitioners, husband and wife, resided at Silver Springs, Nevada, at the time the petition herein was filed. They timely filed their joint federal income tax returns for the years 1973 and 1974 with the Internal Revenue Service at Reno, Nevada.

During the years in issue, petitioners lived*331 on a ranch of some 100 or 120 acres at which they raised, boarded, and sold horses. On their federal income tax return for 1973, they reported sales of 9 horses for an aggregate amount of $3,058. The net gain from these sales was $425. They reported other income from the ranch in the amount of $887.20 and a net loss from ranching of $9,850.65. On their 1974 return, they reported a gain of $510 from sales of 2 horses for an aggregate of $900. They reported other ranching income of $1,171 and a net loss of $9,542 from the ranch. Petitioner Elizabeth Fisher did all of the bookkeeping for the ranch.

Petitioners' tax returns for 1973 and 1974 each report their occupations as musician and PBX operator. In 1973, Richard earned $14,641.60 in wages and Elizabeth earned wages of $1,095.23 from part-time employment. In 1974, Richard's income from wages was $13,541.60 and Elizabeth's was $4,691.27. Richard's wages were almost entirely from his occupation as a musician with the Joseph Rossi Orchestra.

Richard has performed as a musician for many years. In 1973 and 1974, he was employed as a relief orchestra musician with the Joseph Rossi Orchestra. He began working with the relief orchestra*332 in 1972. The relief orchestra performed at various hotels and clubs in Reno, Sparks, and Lake Tahoe, Nevada, on nights when the regular house band was off.

Reno and Sparks are 9 miles apart and each is about 60 miles from petitioners' residence in Silver Springs. Lake Tahoe is approximately 40 miles from Reno and, again, it is about 60 miles from petitioners' residence to each of the places at which Richard performed at Stateline and Incline Village, on the south and north shores of Lake Tahoe, respectively. Richard drove his car to work and home again on the occasion of each engagement. 3 He was reimbursed at the rate of 6 cents a mile for his transportation from his residence to each engagement.

On a normal work day, Richard played a dinner show and a cocktail show. The dinner show began at 8:00 p.m. and the cocktail show at midnight.Each show lasted approximately an hour and a half. He had a break of approximately*333 two hours between shows. His work day ended at about 1:30 a.m. Some work days included a rehearsal as well as the evening performances. On those days, Richard reported for the rehearsal at 1:00 p.m. The rehearsal lasted from 2 to 4 1/2 hours. During the break between the rehearsal and the 8 o'clock show, he ate and relaxed. Each club provided a band room for the musicians to store their instruments and equipped with couches, chairs, a television receiver, and other amenities for relaxing between shows.

In 1973, Richard worked 71 days which included rehearsals and a total of 144 days as a relief musician. In 1974, Richard worked about 135 days as a relief musician, of which 62 included a rehearsal. He deducted $2,005.20 for transportation expenses in 1973 and $1,359 in 1974. He deducted $1,008 for meals in 1973 and $1,130.50 in 1974. 4 Respondent disallowed all of the claimed transportation and meals expenses.

OPINION

Petitioners maintain that Richard's transportation and meals expenses*334 are deductible under section 162(a)(2). 5 Richard insists that his ranch in Silver Springs was his principal place of business (although he gives his occupation as "muscian" on his tax returns). He argues that it follows that his transportation and meals expenses are deductible because they were incurred while he was traveling temporarily away from the ranch in pursuit of a trade or business.

As far as the meals are concerned, it is clear that Richard does not meet the "sleep or rest" requirement of United States v. Correll,

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United States v. Correll
389 U.S. 299 (Supreme Court, 1967)
Chandler v. Commissioner
23 T.C. 653 (U.S. Tax Court, 1955)
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32 T.C. 947 (U.S. Tax Court, 1959)
Garlock v. Commissioner
34 T.C. 611 (U.S. Tax Court, 1960)
Barry v. Commissioner
54 T.C. 1210 (U.S. Tax Court, 1970)
Mazzotta v. Commissioner
57 T.C. 427 (U.S. Tax Court, 1971)
Foote v. Commissioner
67 T.C. 1 (U.S. Tax Court, 1976)

Cite This Page — Counsel Stack

Bluebook (online)
1979 T.C. Memo. 191, 38 T.C.M. 807, 1979 Tax Ct. Memo LEXIS 329, Counsel Stack Legal Research, https://law.counselstack.com/opinion/fisher-v-commissioner-tax-1979.