Fireball

iTrader: (21)

Most DOT cops automatically assume that what we do is "commercial" and we should follow all DOT rules accordingly (they think that the chance of winning money makes it commercial). There have been quite a few instances of people being pulled over, fined, etc by DOT cops. But the Federal Motor Carrier Safety Administration had issued some guidance (very hidden on their site) that simply states that if you don't claim it as ordinary income on your taxes (and deduct losses), then you are NOT commercial. Of course proper licensing at over 26000lbs GVWR still applies...



Read FMCSA guidance for question 21 as this is the pertinant to what we do... I keep a copy of this in my truck at all times just in case



http://www.fmcsa.dot.gov/rules-regul...0163348002325f

Robs94z

iTrader: (4)

Good info

tee-boy

iTrader: (8)

You only have to worry about reporting the income if you win.

Just tell em you accept cash and quid pro quo's only.

Fireball

iTrader: (21)

report it as hobby income, not schedule C

DanZ28

iTrader: (5)

Is that part of the reason I see all the rigs in the pits with "private use only not for hire" on them?

JUICED96Z

iTrader: (2)

Just another reason to know the law's.


I know the weight and not having a CDL have got a lot of people. Others like lawn care companies get burned when they have DOT numbers on their truck and don't realize that they now have to have a fire extinguisher in the truck along with a sticker on the side of the truck saying fire extinguisher on the side of the truck ect ect. I think past a certian weight like the totter home/trailer guys is when they start having problems with the CDL and not commercial use/not for hire stuff.

Lot's of rules out there that are in effect if you have or don't have something ect ect...


Never trust something you read from Joe Blow as gold.

Sofls1

iTrader: (16)

The benefit of reporting it as hobby income is that "most" of us do not turn a profit from our hobby. Thus, if you can show some type of income from it (i.e. race winnings) you may be in for a nice tax break depending on MAGI.