Tax Court Allows Deduction for Transportation Expenses between Residence and Work

By Barton, Peter C.; Sager, Clayton R. | The CPA Journal, March 1994 | Go to article overview

Tax Court Allows Deduction for Transportation Expenses between Residence and Work


Barton, Peter C., Sager, Clayton R., The CPA Journal


The Tax Court recently allowed a deduction for transportation expenses between a taxpayer's residence and temporary work locations because the residence was a "regular place of business" under Rev. Rul. 90-23. In Walker v. Commissioner, 101 T.C.--. No. 36 (December 13, 1993), the court ruled that although Walker was not entitled to the deduction under existing case law, the revenue ruling created an exception that permitted the deduction.

Several rules govern the deductibility of transportation expenses. In general, commuting between one's residence and regular work location is a nondeductible personal expense under IRC Sec. 262(a). However, transportation expenses between different work locations are deductible as ordinary and necessary business expenses under IRC Sec. 162(a). Therefore, if a residence qualities as one's "principal place of business" under IRC Sec. 280A, then transportation expenses between it and other work locations are deductible. In addition, there are two revenue rulings concerning transportation expenses. The first, Rev. Rul. 53-190, allows a taxpayer who is not regularly employed at any specific location to deduct transportation expenses between the taxpayers's residence and a temporary work location outside of the metropolitan area in which he or she usually works. The second, Rev. Rul. 90-23, allows a taxpayer to deduct transportation expenses between the taxpayer's residence and temporary work locations, regardless of the distance, if the taxpayer has one or more "regular places of business."

A "principal" place of business is typically the location where services are rendered. (See "Supreme Court Denies Home Office Deduction" in the April 1393 issue of The CPA Journal. …

The rest of this article is only available to active members of Questia

Already a member? Log in now.

Notes for this article

Add a new note
If you are trying to select text to create highlights or citations, remember that you must now click or tap on the first word, and then click or tap on the last word.
One moment ...
Default project is now your active project.
Project items
Notes
Cite this article

Cited article

Style
Citations are available only to our active members.
Buy instant access to cite pages or passages in MLA 8, MLA 7, APA and Chicago citation styles.

(Einhorn, 1992, p. 25)

(Einhorn 25)

(Einhorn 25)

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Note: primary sources have slightly different requirements for citation. Please see these guidelines for more information.

Cited article

Tax Court Allows Deduction for Transportation Expenses between Residence and Work
Settings

Settings

Typeface
Text size Smaller Larger Reset View mode
Search within

Search within this article

Look up

Look up a word

  • Dictionary
  • Thesaurus
Please submit a word or phrase above.
Print this page

Print this page

Why can't I print more than one page at a time?

Help
Full screen
Items saved from this article
  • Highlights & Notes
  • Citations
Some of your highlights are legacy items.

Highlights saved before July 30, 2012 will not be displayed on their respective source pages.

You can easily re-create the highlights by opening the book page or article, selecting the text, and clicking “Highlight.”

matching results for page

    Questia reader help

    How to highlight and cite specific passages

    1. Click or tap the first word you want to select.
    2. Click or tap the last word you want to select, and you’ll see everything in between get selected.
    3. You’ll then get a menu of options like creating a highlight or a citation from that passage of text.

    OK, got it!

    Cited passage

    Style
    Citations are available only to our active members.
    Buy instant access to cite pages or passages in MLA 8, MLA 7, APA and Chicago citation styles.

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn, 1992, p. 25).

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences."1

    1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

    Cited passage

    Thanks for trying Questia!

    Please continue trying out our research tools, but please note, full functionality is available only to our active members.

    Your work will be lost once you leave this Web page.

    Buy instant access to save your work.

    Already a member? Log in now.

    Search by... Author
    Show... All Results Primary Sources Peer-reviewed

    Oops!

    An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.