Quote:
Originally Posted by berettafan
btw if he's taking expenses on a schedule C with no offsetting income you might see him get pinched quicker if he just keeps doing it. IRS may get curious and question profit motive and/or look at hobby loss rules after 3 years or so.
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I was at a table with a couple of CPAs who seemed to agree that with the budget cuts congress imposed on it, the IRS is not going after any tax return anomalies that don't promise a net positive return. So according to their theory, yes, the longer he does it, the more he'll owe and the better the chances he will get pinched.