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It is obvious that petitioner enjoyed writing and derived
personal satisfaction in sharing his opinions and research.
Petitioner acknowledged that he conducted tests on guns and wrote
about guns because that is a personal interest of his.
Petitioner and his wife also traveled for his research, which has
elements of personal pleasure. Where the possibility of profit
is small (given all the other factors) and the possibility for
gratification is substantial, it is clear that the latter
possibility constitutes the primary motivation for the activity.
See Smith v. Commissioner, supra (citing Burger v. Commissioner,
supra).
Because petitioner’s writing activity was not an activity
engaged in for profit, the activity cannot be considered a trade
or business for purposes of section 162(a). Petitioners are not
allowed deductions for the expenses claimed for all years in
issue. In view of the foregoing, we need not consider the third
issue of whether petitioners’ Schedule C expenses are ordinary
and necessary and whether they have been substantiated.
Based on the foregoing,
Decision will be entered
under Rule 155.
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