Having a hobby and calling it a "business" while it perpetually loses money so you can get a reduction in tax will get you audited. And you will lose. Big time.
Sure. You can do anything as a small business for tax reasons, even illegal things. The business must have a long term profit motive. The government is not going to let you write off business losses on a scheme you are not earning a profit at.
I've heard that there are some advantages relating to owning a small business ,tax wise. Can I start an art studio and have it count as an actual business that provides art related services and gain those advantages. Unfortunately Doing commission based work takes a huge part of each of your earnings as an individual.
