Tax Deduction

Deduct What You Love, With Hobby Losses A hobby is a regular activity done for enjoyment at leisure.  STA is often asked; “Can I deduct my hobby losses?”  When an activity is not pursued for profit, limited “hobby loss” deductions are allowable under section 183(b) of the Internal Revenue Code.[1]  When calculating deductions, losses incurred

Deduct Non-Marijuana Entity Business Expenses Although §280E prohibits cannabis growers and retailers from claiming deductions “for any amount paid or incurred during the taxable year in carrying on any trade or business….”, there are two common approaches to minimizing the impact of this harsh provision. First, taxpayers should seek to maximize Cost of Goods Sold

When is Bad Debt Deductible? From time to time a business owner is faced with the problem of a “bad debt”. The issue may ultimately be whether or not that debt is deductible as a business bad debt deduction.  The deductibility of bad debt is determined by Internal Revenue Code section 166.  Under the provisions