Like HowStuffWorks on Facebook!

10 Common Miscellaneous Expense Deductions

        Money | Taxes

3
Hobby Money
Unless it becomes a business, you can deduct money you spend on a hobby. JackF/iStockphoto/ThinkStock
Unless it becomes a business, you can deduct money you spend on a hobby. JackF/iStockphoto/ThinkStock

Hobbies can be expensive. The Nicki Minaj shrine you've carefully curated into a prime roadside attraction for your county? Those wigs cost bank. So it will almost seem too good to be true to hear that your hobbies are tax-deductible.

Unfortunately, it isn't really that easy. You certainly can't write off your hobby expenses willy-nilly, as there are a few strict requirements in place to ensure you're not actually running a business. One of the rules is pretty strict: You can only deduct the expenses of your hobby up to the amount of money you make on it. So if you love drawing and occasionally make a few bucks creating caricatures of tourists, you can write off the costs of your supplies and expenses up to the amount tourists fork over throughout the year.

What you can't do is spend thousands of dollars on a jealously guarded paper doll collection that makes no profit and proceed to attempt a write-off. (Also, don't spend that much money on paper dolls. I'll sell you one for way cheaper.)


More to Explore