Which of the Following Is Not Relevant in Determining Whether

question 49

Multiple Choice

Which of the following is not relevant in determining whether an activity is profit-seeking or a hobby?

• A) Whether the activity is enjoyed by the taxpayer.
• B) The expertise of the taxpayers or their advisers.
• C) The time and effort expended.
• D) The relationship of profits earned and losses incurred.
• E) All of the above are relevant factors.

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Definitions:

Lessons Learned

Insights or knowledge gained from past experiences, which can be used to inform future decisions and actions.

Purpose

The reason for which something is done or created or for which something exists.

Achieved Plans

Objectives or goals that have been successfully accomplished or realized.

Surpasses Objectives

Achieving beyond the set goals or targets in a given task or project.