Ronald Andrew Mayo and Leslie Archer Mayo v. Commissioner

RONALD ANDREW MAYO AND LESLIE ARCHER MAYO, PETITIONERS v. COMMISSIONER OF INTERNAL REVENUE, RESPONDENT Docket No. 15527–03. Filed January 25, 2011. P–H was engaged in the trade or business of gambling on horse races during 2001. Ps attached a Schedule C, Profit or Loss From Business, to their 2001 Federal income tax return, on which they reported the results of P–H’s gambling busi- ness, including gross receipts of $120,463 and expenses of $142,728, consisting of $131,760 for wagers placed and $10,968 in expenses incurred in connection with the conduct of the gambling business. Ps deducted…