Even Ivy League Professors Can Get Taxes Wrong

That’s what happened to a former urban planning professor from Princeton and the University of Pennsylvania. He did consulting work in addition to teaching but didn’t keep records of business expenses. The Tax Court denied his deductions ($35,000 in one year; $31,000 in the next) for lack of substantiation. The records for business driving weren’t contemporaneous and he couldn’t show what work was done for payments to his four children. #IdeaoftheDay