In Tser v. Commissioner, a high school math teacher/comic book fanatic started a comic book club and spent about $30,000 on 16,000 comic books for the club. He attempted to deduct this expense as an ordinary and necessary business expense under ยง162 of the Federal Income Tax Code. The court did not have to address whether such an expense was ordinary and necessary, because when the teacher left his job, he took his comic books with him, and the expenses were considered to be personal in nature, and therefore not deductible.
Just read an interesting tax case…
In Tser v. Commissioner, a high school math teacher/comic book fanatic started a comic book club and spent about $30,000 on 16,000 comic books for the club. He attempted to deduct this expense as an ordinary and necessary business expense under ยง162 of the Federal Income Tax Code. The court did not have to address whether such an expense was ordinary and necessary, because when the teacher left his job, he took his comic books with him, and the expenses were considered to be personal in nature, and therefore not deductible.