One Mile at a Time [OMaaT] discussions [merged]
Dec 2, 2015, 12:06 pm
#1262
Join Date: Feb 2004
Location: CLE
Programs: UA GS+LT UC, AA EXP+LT PLT, Fairmont LT PLT, Marriott PLT, Hilton DIA, Hyatt Glob, Avis CHM
Posts: 4,671
Dec 2, 2015, 12:38 pm
#1263
Join Date: Jan 2002
Location: DCA/IAD/WAS
Programs: MAR AMB, WOH Explorist, AA EXP, UA 2P
Posts: 2,138
Dec 2, 2015, 1:59 pm
#1266
Moderator: Southwest Airlines, Capital One
Join Date: Sep 1999
Location: California
Programs: WN Companion Pass, A-list preferred, Hyatt Globalist; United Club Lietime (sic) Member
Posts: 21,625
It's strange how certain words morph into a meaning which excludes a substantial part of their original scope. For example, "inner city" does not include Wall Street, which is about as close to the center of NYC as you can get. Language moves so fast that people living 1000 years apart in the same country would have had trouble understanding each other.
Dec 2, 2015, 2:28 pm
#1267
Join Date: Jan 2002
Location: DCA/IAD/WAS
Programs: MAR AMB, WOH Explorist, AA EXP, UA 2P
Posts: 2,138
Dec 2, 2015, 3:02 pm
#1268
Join Date: Jul 2002
Location: Virginia, USA
Posts: 4,511
At what point does a hobby become a business? That particular "Hobby," in any event, crossed the line a longtime ago. He's even deducting his car (apparently a late model Ford) as a business expense.
Dec 2, 2015, 4:40 pm
#1269
Join Date: Oct 2009
Location: Austin, TX
Programs: AA LT Plat, UA 1k/1mm+, National EE, IC Plat, Bonvoy Gold
Posts: 2,605
Dec 2, 2015, 4:42 pm
#1270
Join Date: Jul 2010
Location: YYZ
Posts: 1,666
Dec 2, 2015, 6:37 pm
#1271
Join Date: Jun 2014
Location: DFW
Programs: AA Lifetime Gold, Admirals Club, Global Entry
Posts: 1,141
As I've said before in other contexts, none of this is a mystery. I believe the general rule of thumb is that a profit in 3 out of 5 years entitles you to a presumption that the "hobby loss" rules don't apply. So that's where the line is, sort of.
There are a lot of "hobby loss" cases out there, some of which are actually pretty funny: the IRS accuses the defendant of being nice and really caring about (for example) show horses; the defendant counters by saying (for example) that she cares not a whit for horses and just takes care of the beasts for the money. A lot of money often, um, rides on the answer.
Of course, as already noted above, if your profession is servicing hobbyists, none of this even applies at all in the first place.
There are a lot of "hobby loss" cases out there, some of which are actually pretty funny: the IRS accuses the defendant of being nice and really caring about (for example) show horses; the defendant counters by saying (for example) that she cares not a whit for horses and just takes care of the beasts for the money. A lot of money often, um, rides on the answer.
Of course, as already noted above, if your profession is servicing hobbyists, none of this even applies at all in the first place.
Dec 2, 2015, 7:48 pm
#1272
Suspended
Join Date: Aug 2009
Location: Look up - On a ✈ DELTA ✈ jet NOW!
Programs: Blogger & Delta Diamond Medallion Million Miler
Posts: 4,174
Dec 2, 2015, 9:04 pm
#1273
Join Date: May 2012
Location: Fort Lauderdale, Florida
Programs: IAMAW Local 368/HAL 2 Star Mariner
Posts: 740
Hold on everyone, I feel you all have missed a crucial accomplishment on account of the news story regarding a "homeless man" (emphasis on the quotes) flying in first class all the time:
The title didn't say free! The title didn't contain the word "free"!!!
This.
is.
progress.
@:-)
-LPDAL
The title didn't say free! The title didn't contain the word "free"!!!
This.
is.
progress.
@:-)-LPDAL
Dec 3, 2015, 6:15 am
#1274
Join Date: Feb 2001
Location: Ann Arbor, Michigan
Programs: Airline Free Agent, Fairmont Lifetime Platinum, Hyatt Globalist, Hilton Honors Diamond
Posts: 3,041
The comment about deducting a late model Ford was hilarious, well played, well played!
This is not a hobby when you open a separate bank account in the name of the blog :-)
I'll be announcing a special trip soon and I'll be deducting the crap out of it! I am a CPA, I think I can justify my expenses in case of an audit.
What I don't get is that The Points Guy Inc. has PR staff on payroll and Ben just creams him in comparison!
This is not a hobby when you open a separate bank account in the name of the blog :-)
I'll be announcing a special trip soon and I'll be deducting the crap out of it! I am a CPA, I think I can justify my expenses in case of an audit.
What I don't get is that The Points Guy Inc. has PR staff on payroll and Ben just creams him in comparison!