Jime

iTrader: (10)

Does anyone claim their racing as a business and write off their expenses?

Just wondering, that is my plan for last year and future ones as well, or at least as long as I get away with it.

I know of a few individuals who are doing this and thought I would just follow suit. One I know one guy quite well has been doing it for 4 years now.

With the amount I spend on this money pit it would be nice to write it off.

Not sure if this is viable in the US or not because I am not acquainted with your tax laws.

Jim

PS The name of my business is called Maximatic Racing. Original Huh?

Nealoc187

iTrader: (23)

What a godsend that would be. "Yes Mr. IRS Auditor I did write off a $5000 turbo kit as a business expense."

I don't know enough about taxes to attempt this however. I'll just stick with my part time college student job and get my turbo kit or ECU and cams the old fashioned way

MaxRPM

iTrader: (1)

Hey Jim, I do IT consulting and was thinking of setting up a race team and sponsoring myself so I could write off the costs. Wonder if I could get away with it that way.

Jime

iTrader: (10)

After what happened to me at Christmas Sam I am ready for anything. I got a tax bill for $18k a week before Christmas to be paid by 3 Jan 03. 2 days later I got another letter with 5 years of reassessments from 93-97. It was all from a Condo we bought in Fla, mostly as a tax write off and the gov't disallowed it because they claimed we couldn't make it profitable. Well it ended up as a class suit going up to the supreme court and the gov't lost.

On Christmas eve I got a check for $5600, so I went from jumping off the roof one day to trying to decide what car I wanted next.

So I thought if I could win that one I should be able to write off a race car.

From what I can gather from the accountants I have talked to, it doesn't have to be profitable but you have to make it look like you are at least trying. The onus is not on you to prove you are trying to make a profit its on them to prove the writoffs are not allowable.

Anyway I have a few expenses from last year. Apparently you can even claim part of you internet if you have a web page to try and get sponsors etc etc

I figure in about 10 years or so of writeoffs I should be able to buy one of John Force's year old cars.

Go for it.