In the Reality Check titled "Do You Have a Business or a Hobby?" the primary check to determine which you have is
A) How many employees you have
B) Number of states you operate in
C) Total revenue generated
D) If you make a profit in three of the past five years

Question

Quizplus · Accepted Answer

The primary check to determine if you have a business or a hobby is whether you make a profit in three of the past five years, as this is a standard used by the IRS to differentiate between a business and a hobby for tax purposes.

In the Reality Check Titled "Do You Have a Business