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Strategies & Market Trends : IRS, Tax related strategies--Traders -- Ignore unavailable to you. Want to Upgrade?

To: The Jedi who wrote (232)	3/16/1998 11:24:00 AM
From: mod	Read Replies (1) \| Respond to of 1383

I don't know, I've never had a negative year, thankfully. I suppose if you show a net loss for more than 2 years, you might have a problem with the hobby loss rule. I don't know if there are exceptions that might apply in this case, though. Dennis

To: The Jedi who wrote (232)	3/16/1998 7:29:00 PM
From: Colin Cody	Read Replies (1) \| Respond to of 1383

As in ANY trade or business if you lose money the IRS may believe you are not really in this "for the income" but perhaps are in it for some other reason. . Facts and Circumstances can go a long way to determine if you made a bona-fide effort to maintain a business-like trade or business. . For example, trading over the sole telephone line from your home vrs. maintaining an outside office with separate business lines, and other evidence of the operation of a serious business operation. . Colin