Is your business just a hobby?

The Jeff Trapp Podcast · May 31, 2023 · 9m

When it comes to taxes, the distinction between a business and a hobby is crucial. A business is an activity that is done to make a profit, while a hobby is an activity done for pleasure or relaxation. The Internal Revenue Service (IRS) defines a business as “an activity carried on for profit.” The difference between a hobby and a business is important for tax purposes because businesses are allowed to take certain deductions that hobbyists are not. In this episode of the Jeff Trapp Podcast, Jeff will break it all down to help you better understand the key differences. He'll also help you…