Re: Setting up a Corporation for your gambling business
Downsides:
-Incorporation fees ~ few hundred / year depending on the state
-Self Employment Tax (HUGE) adds about 15% ON TOP OF your income tax.
-More likely to get audited. You have to be making more playing poker than any other job you have.
Upsides:
-Keep your standard deduction if you were using that (+~$1000).
-Deduct "Business Expenses".
I think you should incorporate if you make more than $80k / Year on poker, and you have like $30k / year in business expenses (travel, computers, accountant, NOT ENTRY FEES).
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