Episode 18 - Roots v. Commissioner

$3 million for a lodge that has bats and mice living in the walls.

Another $4 million to sue the builder and architect who built it all.

And all the taxpayer gets in the end is lost deductions and a 20% penalty which could have been avoided.

Today is all about classifying streams of income - passive, active, or capital - and how that can seriously change your tax owed.

Enjoy.