Gary is an architect who also sings at weddings. This year, he received $5,400 in fees from his singing and spent $6,250 on singing lessons, sheet music, and travel to the weddings. If Gary considers this activity as a hobby for federal tax purposes, which of the following statements is true?

Question

Quizplus · Accepted Answer

Since Gary considers singing at weddings as a hobby for federal tax purposes, he is not allowed to deduct any of his hobby expenses, including the $6,250 he spent on singing lessons, sheet music, and travel to the weddings. He is also not required to include the $5,400 in fees he received in his gross income, but this does not affect his ability to deduct expenses.

Gary Is an Architect Who Also Sings at Weddings