Thomas W. Burton - Page 10




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          that they entered into the activity, or continued the activity,             
          with the actual and honest objective of making a profit.  Taube             
          v. Commissioner, 88 T.C. 464, 478 (1987); Dreicer v.                        
          Commissioner, 78 T.C. 642, 645 (1982), affd. without opinion 702            
          F.2d 1205 (D.C. Cir. 1983); sec. 1.183-2(a), Income Tax Regs.               
          The taxpayer's motive to make a profit must be analyzed by                  
          looking at all the surrounding objective facts.  Id. at 645.                
          These facts are given greater weight than petitioner’s mere                 
          statement of intent.  Dreicer v. Commissioner, supra.                       
               Section 1.183-2(b), Income Tax Regs., provides a                       
          nonexclusive list of relevant factors which should be considered            
          in determining whether the taxpayer has the requisite profit                
          objective.  The factors are: (1) The manner in which the taxpayer           
          carries on the activity; (2) the expertise of the taxpayer or his           
          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 losses with             
          respect to the activity; (7) the amount of occasional profits, if           
          any, which are earned; (8) the financial status of the taxpayer;            
          and (9) any elements indicating personal pleasure or recreation.            
          Sec. 1.183-2(b), Income Tax Regs.  These factors are not                    
          applicable or appropriate in every case.  Abramson v.                       
          Commissioner, 86 T.C. 360, 371 (1986).                                      
               In determining whether petitioner was engaged in the apple             





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