Thanks, John. But now I'm confused again - it sounds like it being a hobby is worse for me (in terms of taxes to pay) than if I called it a business, because if it's a business at least I can deduct the cost I paid for the tickets as a business expense. But if it's a hobby, I have to pay taxes on the entire amount I received as payment even though I had to pay most of that already to buy the ticket I resold?
Put another way - are you saying that if I (to use the original poster's example) buy a ticket for 200 dollars and sell it for 400 dollars:
- If this is considered a hobby I'm taxed on 400 dollars
- If this is a business I'm taxed on 200 dollars
So wouldn't I want to call it a business?
