With tax season here, I thought to pass on a little tidbit for those contemplating another year where your art expenses outpaced your sales.  Ordinarily, a business can show a loss for 2 years, although there are some exceptions, such as in raising horses, where you get 5.  For an artist, actively promoting their work, and can show the records, it became possible to show indefinite years of losses, after a Mrs. Churchman took it to court and won against the IRS.

In my notes I have the details for your accountant.  You might contact me for the case #.

Of course, showing a profit is another and better option! 

MEMBERS COMMENTS VIEWING 1 - 1 OUT OF 1 COMMENTS From: lizamyers 04/04/2008 08:07:04 Thanks! I'll pass that along to the guy who does the books... Some years are better than others!