Maybe too off topic - astronomy small business?

Sorry if off topic a bit but has anybody created an astronomy small business for the purpose of tax benefits. Equipment can be depreciated, maybe lease a vehicle and use it for the credits, maybe buying and selling at a loss? I would assume film for astrophotos could be deducted. I'm not sure it's feasible. I really don't know tax law. I'm sure you would have to show sales or spending of x amount to get various credits. I just thought of it golfing and mentioned to my friend my bro did that with his horse hobby years ago and they get mucho tax return. I'm not looking for that but if it could save a few k and finance a larger scope or buy better astro equipment or photo equipment it may be worth looking into. Then I can then write a book about it and sell it to all new astronomers...

Not a real good idea and its been done before. Personal use of business property in most cases is not legal. A schedule C is required with the tax return. Getting tax credits, tax breaks, claiming depreciation and so forth are subject to many rules and regulations. A hobby is a hobby in the tax code "you can claim nothing". A business is supposed to show a gain in at least three years. The way tax law is written, without a gain, it could be deemed a hobby. This would force a recapture of the depreciation and credits taken. It could get ugly in a hurry. My advice is---See your tax practitioner before embarking in an endeaver such as this. If its a true small business then no problem. The description of what the tax code considers a business can be found in IRS publication 17. A desciption of "hobby" is also found in that publication.

I started AstroPro Products because I came up with several products that people said they wanted. To date I wouldn't say that it is a benefit because I put as much money back into it as I am making from it. I am just breaking even. I need more astronomers to buy things! There are way more cost involved then one thinks. The Gov't isn't simply going to let you say your are business and then write off your purchases to save on taxes. You have to show how and why the purchase purtains to your business and how the purchase is related. They have all kinds of formulas they use, so many years and you HAVE TO SHOW A PROFIT, etc...

Paul Atkinson