EQIN 401

Equine Taxation

The focus will be on Federal income tax laws and their impact on the operations of horse owners and breeders. The "Business v. Hobby" issue will be addressed in depth by analyzing cases applying the nine regulatory factors used by the IRS and the courts to determine the issue. Other topics include: defining "income"; the tax implications of business entity selection, including sole proprietorships, syndicates, partnerships, general and limited partnerships, corporations, limited liability companies, cash and accrual methods of accounting, record keeping, passive losses and material participation, deducting ordinary and necessary business expenses, depreciation and capitalization deductions. Students will apply what they have learned and evaluate tax strategies based on real-world situations and problems

Units: 3.0