Thread: Boat Loans
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Old 09-07-2007
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hellosailor hellosailor is offline
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"The boat being the primary office and storage facility."
Sure, as long as you don't misuse the business office for personal purposes. And as long as that business makes a profit in 3 out of 5 years, otherwise the IRS may declare it to be a hobby and void all your business deductions.
If you aren't familiar with how the IRS looks at "business versus personal" either you buy some time with a CPA/EA, or you go to the IRS web site and start reading periodicals. As long as you can meet their express criteria, you're fine. If you have to ask whether you can get away with something...you're going to pay taxes, penalties, interest, and fines when you get caught out on it. Some people avoid those for years--but there's no statute of limitations on tax fraud, they get to compound the interest back to day one.
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