Funderburk CPA, LLC

09/08/2024

💰 Is There Unclaimed Money Waiting for You? 💰
Did you know millions of dollars in unclaimed property could belong to people just like YOU? Unclaimed property includes forgotten savings accounts, uncashed checks, refunds, or even insurance payouts. Many people don’t realize they have money waiting to be claimed!
Here’s how you can check:
1. 🔍 Visit www.MissingMoney.com or your state’s unclaimed property website.
• Mississippi - https://treasury.ms.gov/for-citizens/unclaimed-property/
• Alabama - https://alabama.findyourunclaimedproperty.com/
2. Enter your name and any previous addresses.
3. Follow the steps to claim what’s rightfully yours!
It’s quick, easy, and free. You could have some cash waiting with your name on it! 💸

Send a message to learn more

09/06/2024

Is Your Farm a Business or a Hobby? Here’s What It Takes to Be Considered a Legitimate Business by the IRS

Wondering if your farm is a real business or just a hobby in the eyes of the IRS? It’s not just about making money 3 out of 5 years—here’s what the IRS really looks for:

🌾 Profit Motive: You need to show that you’re farming with the intent to make a profit. You don’t have to be profitable every year, but the IRS expects you to make a profit in 3 out of 5 years (or 2 out of 7 for horse activities) under IRC Section 183.

📊 Business-Like Operations: Treat your farm like a business! Keep accurate records, have a business plan, and make decisions aimed at improving profitability, like marketing or cost-cutting.

⏱️ Time and Effort: Are you putting in the work? The IRS wants to see you’re dedicating significant time to making your farm succeed.

📚 Expertise: If you don’t have the know-how to run a farm, you should be consulting with experts or learning how to improve profitability.

💸 Financial Track Record: Losses happen, but if you’re consistently losing money year after year, it might be seen as a hobby.

📈 Asset Appreciation: Even if your farm isn’t turning a profit yet, the IRS will look at whether your assets (like land or equipment) are increasing in value.

🤔 Enjoyment vs. Business: It’s okay to enjoy farming, but if it’s more of a passion project than a profit-driven venture, it could be classified as a hobby. The more business-minded your approach, the better.

Key Takeaway: To be seen as a legitimate business and claim tax benefits, you need to show a profit motive, run your farm professionally, and meet the 3 out of 5 years profit rule. Don’t miss out on the tax breaks—make sure your farm looks like a business!