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What factors should be considered in determining whether the taxpayer is engaged in a trade or business? a. A profit-making motive and intent to earn

What factors should be considered in determining whether the taxpayer is engaged in a trade or business?

a. A profit-making motive and intent to earn a livelihood.

b. Personal pleasure derived from undertaking the activity.

c. The taxpayer engages in the activity sporadically.

d. The taxpayer has earned a profit from the activity (not a horse racing activity) in two out of the last five years.

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