Hobby or business (Page 3): A corollary to this question might be: "If I (photo enthusiast "amateur") enter one of my best pictures into a juried photo event and the top honors are won...

tequilacvx Loc: Sarasota, FL

A corollary to this question might be:

"If I (photo enthusiast "amateur") enter one of my best pictures into a juried photo event and the top honors are won by a "professional," should I be P.O'd?

UP-2-IT Loc: RED STICK, LA

CHOLLY wrote:

As the victim of TWO IRS audits, I say BUNK!! :-(

Easy for Nitro to say.

katbandit Loc: new york city

why does it sound as if everyone here is so on the up and up ..i mind my own business when it comes to reporting someone unless it is bodily harm..i doubt that making a few bucks selling a few photos is not breaking any laws ..that would mean that having garage sales would also be something that the IRS would stick their noses inwhat about ebay..or Craigs list..i would say that if people offer you money for your services then it is considered a gift..there are so many ways around making a few bucks..i doubt that all the righteous people here that are giving you all this advice are really so totally honest is anyone..? i try to do the right thing most of the time ..but i don't tell others what to do..especially tell them what to do with their finances.

CHOLLY Loc: THE FLORIDA PANHANDLE!

UP-2-IT wrote:

Easy for Nitro to say.

I got the proverbial "microscope up the butt" treatment TWICE, and let me tell you, it AIN'T fun.

ESPECIALLY when you don't owe them any extra money... but they HAVE to justify the audit anyhow. :evil:

I don't play when it comes to taxes... It's just not worth it. :-(

CHOLLY Loc: THE FLORIDA PANHANDLE!

katbandit wrote:

why does it sound as if everyone here is so on the... (show quote)

:roll:

People who cut corners and TRY to get away with stuff are the reason HONEST people suffer.

I guess there are a lot of folk who will do things as long as don't get caught... even if it means problems for others. Thing is... when THEY get caught, they complain the loudest. :thumbdown:

katbandit Loc: new york city

CHOLLY wrote:

:roll:

People who cut corners and TRY to get away with stuff are the reason HONEST people suffer.

I guess there are a lot of folk who will do things as long as don't get caught... even if it means problems for others. Thing is... when THEY get caught, they complain the loudest. :thumbdown:

i'm just saying that sooner or later they may or may not be caught and yes honest people do suffer by dishonest people..but if someone is only picking up a few bucks here and there then thats their business..i pay my taxes by the books..but i don't see how anyone making a few bucks on the side hurts me..a hobby can be profitable at times and also could be a money pit..it will all balance out..i'm sure that he isn't talking major money here..so lets just stick with photography and not laws

CHOLLY Loc: THE FLORIDA PANHANDLE!

True.

I don't know about N.Y.C. but here in North Florida photography is a cut-throat business. VERY competitive... to the point that there are SOME who check the local Clerks of Court for recently issued marriage licenses to drum up business. SERIOUSLY.

If a guy calls and finds out that "so and so" is doing a wedding and a quick search shows they aren't licensed, then they'll report it....

anotherview Loc: California

Nope. After all, please consider the assumption the photo judges evaluate a given photo on its merits, and likely do not know the author of the photo.

tequilacvx wrote:

A corollary to this question might be:

"If I (photo enthusiast "amateur") enter one of my best pictures into a juried photo event and the top honors are won by a "professional," should I be P.O'd?

katbandit Loc: new york city

CHOLLY wrote:

True.

I don't know about N.Y.C. but here in North Florida photography is a cut-throat business. VERY competitive... to the point that there are SOME who check the local Clerks of Court for recently issued marriage licenses to drum up business. SERIOUSLY.

If a guy calls and finds out that "so and so" is doing a wedding and a quick search shows they aren't licensed, then they'll report it....

so sad that people turn people in for this..couldn't it be a gift on the photographer's part? things are not always what they seem..

romanticf16 Loc: Commerce Twp, MI

SharpShooter wrote:

GC, you already have another job that gets you to the $600 threshold, so one dollar will make it reportable. But it's a separate business, so it's two incomes. Welcome to the long form and the schedule C(?).
The good thing is if you claim your equipment, depending on how long you depreciate, you just lost money! Hoo-ray, no fed tax, but there is local property tax to pay on your equipment.
SS

Making a few $$ won't cause problems. Once you begin to write off your expenses and equipment they'll take notice and expect you to show a profit after a few years or loose the deduction and be labeled a hobby. On the other hand those deductions can make it profitable if you're selling enough.

sb Loc: Florida's East Coast

nitrophil wrote:

Don't worry about the IRS, what they don't know won't hurt you!

:mrgreen: :mrgreen: :mrgreen:

But what they find out can hurt you badly indeed.... :cry:

sb Loc: Florida's East Coast

CHOLLY wrote:

I got the proverbial "microscope up the butt" treatment TWICE, and let me tell you, it AIN'T fun.

ESPECIALLY when you don't owe them any extra money... but they HAVE to justify the audit anyhow. :evil:

I don't play when it comes to taxes... It's just not worth it. :-(

CHOLLY is right. I was audited many years ago - two auditors went through everything and I was interviewed twice. Very stressful - I can't imagine how stressful it would be if I was hiding something! The end result of all their effort and all my stress was the realization that I was honest but not very organized. I had deducted a $75 expense in two seperate categories by mistake, so I owed the IRS something like $25 in back taxes and another $30 or so in fines and penalties. With that kind of return on their investment I can see why the haven't audited me since then! (knock on wood!).

G Brown Loc: Sunny Bognor Regis West Sussex UK

How the heck do you know if selling from a tent is going to be worthwhile till you try it ! If you have a decent income coming in and can afford the time to start a second income stream worrying about your tax liability is the last thing to loose sleep over. Keep all your receipts,invoices and sales in a box and if the knock comes within a year hand it over.
selling a few might be a start of selling just a few ( you can fool some people all the time) selling a lot may never happen - but think of the enjoyment of attending all those events....Go try your luck. worry when you have thousands not reported....most businesses don't make a profit for the first three years (on paper)....so you will have plenty of time to ponder when to see an accountant

billybob40

Keep it as a hobby, DO NOT quit your day job. I do event photography its not what it was a year ago. Every one has a camera now days. And it hurts the ones trying to make a liveing at it. I say take the money you make at photography AND RUN with it. Good luck anGODbless

amehta Loc: Boston

CHOLLY wrote:

True.

I don't know about N.Y.C. but here in North Florida photography is a cut-throat business. VERY competitive... to the point that there are SOME who check the local Clerks of Court for recently issued marriage licenses to drum up business. SERIOUSLY.

If a guy calls and finds out that "so and so" is doing a wedding and a quick search shows they aren't licensed, then they'll report it....

A wedding photographer needs to be licensed? By whom?