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Hobby Loss Rule (Section 183) Defense

Drafts a defense for business losses to prove a profit motive to the IRS.

Draft a defense memo for the {business_activity} activity of {taxpayer_name}, which has shown losses for {consecutive_years} years. Address the 9 factors of Treasury Reg. 1.183-2(b), focusing on: 1. Manner of carrying on activity, 2. Expertise, 3. Time and effort expended, and 4. Expectation of asset appreciation.

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Details

๐Ÿ’ฐ

Category

Tax

Corporate Tax Compliance

Tested With

โœ“ GPT-4oโœ“ Claude 3.5 Sonnet

Tags

#Hobby Loss#IRS#Tax Defense

Added

6m ago

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