- 4 -4
v. Commissioner, supra at 46; Dreicer v. Commissioner, supra at
645; Golanty v. Commissioner, 72 T.C. 411, 426 (1979), affd.
without published opinion 647 F.2d 170 (9th Cir. 1981); Bessenyey
v. Commissioner, 45 T.C. 261, 274 (1965), affd. 379 F.2d 252 (2d
Cir. 1967).
Whether petitioner engaged in managing and promoting his
son's (Benjamin) motocross racing activity with an actual and
honest objective of earning a profit must be determined by
considering all the facts and circumstances. See Golanty v.
Commissioner, supra at 426; sec. 1.183-2(a) and (b), Income Tax
Regs. More weight is given to objective facts than to
petitioner's statement of his intent. See Engdahl v.
Commissioner, 72 T.C. 659, 666 (1979); sec. 1.183-2(a), Income
Tax Regs.
In deciding whether petitioner engaged in managing
Benjamin's motocross racing activity for profit, we apply the
nine factors listed in section 1.183-2(b), Income Tax Regs. The
factors are: (1) The manner in which the taxpayer carried on the
activity; (2) the expertise of the taxpayer or his or her
advisers; (3) the time and effort expended by the taxpayer in
carrying on the activity; (4) the expectation that the assets
used in the activity may appreciate in value; (5) the success of
the taxpayer in carrying on other similar or dissimilar
activities; (6) the taxpayer's history of income or loss with
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