Question: Carmella really wants to be an actor but she is having trouble getting that big break she so desperately needs. To keep food on the

Carmella really wants to be an actor but she is having trouble getting that “big break” she so desperately needs. To keep food on the table, Carmella has a small tax-preparation business and nets approximately $ 30,000 per year. She has received small parts in several movies and on television, earning approximately $ 10,000. However, she incurs substantial expenses associated with her acting career that amount to $ 15,000. Can Carmella deduct her acting expenses and/or can Carmella qualify for the qualified-performing-artist deduction?

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The AGI ceiling for deducting actingrelated expenses is 16000 which is below Carmellas AGI Therefo... View full answer

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