28Jun/100
How To Avoid An Audit By The IRS Part 2
Another thing that makes the IRS suspicious is hobby losses. Last year the Internal Revenue Service gave its agents a manual about how to find hobby losses, where tax payers underwrite activities they enjoy - like soccer - by labeling them as businesses and claiming a loss on a Schedule C under the guise of self employment. Remember that any Schedule C that lists a loss will be under scrutiny, especially if your new business has something to do with anything fun or enjoyable.