|
Don't get caught in the IRS crackdown on horse owners!
When your horse activities show substantial tax losses, the IRS may declare
that you don't have a business at all but merely a hobby. When that happens, not
only will current tax deductions be disallowed but you may be required to pay
thousands of dollars in back taxes, penalties and interest. It could bankrupt
you.
But your horse business can withstand an IRS challenge if you follow the
simple rules of the game.
What you need to know is contained in the Official IRS Tax Guide to
Auditing Horse Activities. This is the official training manual the IRS
uses to prepare its agents to sniff out horse "hobbyists." Word for
word, it's the same manual the IRS agent will study before showing up at your
farm.
Don't be unprepared!
|
