Federal Tax, Tax

Taxable Income From Hobbies Must Be Reported

Do you make money from a hobby? If so, you have taxable income that must be reported on your tax return. A taxpayer who engages in an activity for sport or recreation is considered to have a hobby, and the expenses incurred are generally nondeductible. But a taxpayer who operates a business for profit may be able to deduct the related expenses from the income generated.

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