@Opus 17 wrote:
In general, if you don’t make a profit at least 2 out of the past 5 years, the IRS may assume that you are really running a hobby.
The presumption, per Section 183(d), does not work in that manner. Rather, the presumption is simply that an activity is engaged in for profit if gross income exceeds deductions for the past 3 out of 5 years.
