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How the IRS Knows You are Operating a Hobby, Not a Business.

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The IRS had a $300 BILLION tax gap and they know there are suspicious activities for which individuals will start a “business” where really it was a way where expenses that where incurred could be written off as a loss against earned income… (not a real business, just a way to justify money you would have spent anyways so now you want to turn it into a tax write off).

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