Submitted by: Donald Hank
The Bogus Math Of Both Left And Right
July 7th, 2011 | 
Author: We heard it again yesterday in Obama’s “twitterfest news event”, and it’s getting both old and ismanifestly dishonest.
The same holds true for the so-called “racehorse exemption.”
Both claims come from the fact that business expenses are deductible. So if you’re running a company and have a private jet, and the jet is used in some manner that furthers the business interest, you can deduct the cost of owning and operating it from gross revenues. The same with the racehorse – if you raise horses to race with the intent of making money by doing so - that is, as a business – you can deduct the cost of raising the horses from your gross revenues (winnings.)
Are there reasonable debates to be had on where the line is between “business” and “pleasure”? Sure. The business jet issue is one that resonates well with middle-class America and its propensity for class warfare: “Those evil fat cats are flying around and not paying a damn dime in taxes on that ridiculously expensive jet!”
