I have other micro gigs on the side so I would claim both the income and the expenses on my fed income tax return (my state doesn't have a income tax). Overall, my total gig business, I use the name my state sales tax license is under, has either a slight profit or a slight loss year-to-year. It doesn't really affect me in the end because all of our itemized deductions don't add up to the married, joint filing standard deduction.

The IRS hasn't audited us yet and I've been doing my own taxes with H.&R. Block's home software for a decade or more now.

As some have said, keep records. Its better to have them than not if they come around sniffing.

Animal Damage Control business?

Absolutely. It's additional income. Wait till you see what my costs will be this year. Mileage, gear costs, snowmobile (which is strictly a trapping sled), hotel rooms for conventions, mileage to conventions are all a tax write off. Out here I can spread my costs over a few years to reduce the expenses. It all comes off my gross which will be the biggest year of my life. Storms pay well and must be willing to go out 24/7....lol

For many years, I produced a profit and loss statement. I have been through two IRS audits and one federal government claims audit and I have kept my books clear of any of my hobby’s.

The biggest problem with IRS is they believe you’re guilty before proven innocent!

I have never trapped for "fun" or knowing I would lose money. I always filed a schedule C for my trapping business. Y'all do you, I reckon. I haven't trapped for about 8 years now, no money in it for me.

The irs has a website.

“ Fur money~what fur money?” Hobbie- cash or barter.

No they don’t even want to go there if I was the IRS

Somewhere in an otherwise empty office building on thanksgiving a single IRS agent is reading this and rubbing his hands together

Either way, as I pointed out I have to keep record for the vehicle tag.

Taxes are theft

He's probably rubbing something else and dreaming of being the hero that brings in dozens of dollars in taxes owed by trappers lol

That's only if you have a business license.

Right with you AK Timber- he is rubbing one out !

You giys are kidding, correct? An IRS person actually working on Thanksgiving??! Unless they work on commission or bounty.

They are about the only civilian feds that you can't find out specifically what individual people make a year. I haven't gone looking for those websites for a while but at one time I knew what every fed in my work place (over 100+ people) made within the last couple of years. It was quite revealing, some surprises, but mostly not.

How many of those 100+ were "nonessential" when the Gubmint went on strike to get more money to spend?

Just tell the the tax man the burden of proof is on the accuser here in the United States.

"Innocent until proven guilty" doesn't apply anymore. Especially the Gubmint.

Income is income regardless of where it comes from so you are legally required to report it. Seems like there are three choices, don't report it and hope you are never audited, report it as hobby income and pay tax on all of it, or report as business income and deduct expenses to reduce your overall tax liability.

Unfortunately that isn't true in Tax Court. You need to be charged under title 18 to get into a real criminal court where Constitutional guarantees are still sort of recognized.