The Green Group

Editor's note: The Thoroughbred racing industry is covered under legislation passed in Washington to bolster an economy that has been hard hit by the coronavirus. To clarify what is available to racing participants, the NTRA held a teleconference Wednesday which included tax experts who serve the racing industry. To break down what is available and who qualifies for assistance, the TDN asked Green Group Founder and Chairman Len Green to go over the CARES Act and its provisions. The Coronavirus Aid, Relief and Economic Security Act ("CARES Act") became law...

Congress recently implemented changes to the IRS Tax Code, The CARES Act, to provide relief from the COVID-19 outbreak. We reviewed the updates and are pleased to report that (for the most part) the changes will benefit those in the Thoroughbred industry. Below please find a summary of the most relevant items and how they affect the horse business: 1. Prior to the recent update, the tax law capped business losses at $250,000 for single taxpayers and $500,000 for married filing joint returns. A business loss in excess of those...

We are pleased to report we received a number of favorable responses to our first question and answer column. We also received several new questions which we are addressing at this time. Question #1: From a tax point of view, what should we do if the horses we bought to pinhook can now not be sold? Answer: As a result of the threat of COVID-19, many pinhookers are having second thoughts. Our normal transaction was to buy yearlings in 2019 for resale at the 2-year-old sales in March and April...

Today, we begin a new column where readers are invited to write in and ask our expert Len Green their equine-related tax and accounting questions. Have a question you'd like answered? Email [email protected] Question #1: I am a partner in a racing syndicate. I received a K-1 form which shows a loss for the year. My accountant is questioning whether I am entitled to deduct the loss. What is the problem? Losses from partnership ownership fall into three categories: a. Active--which means the losses can be used to offset any...

The Empire Racing Club will present an educational series Aug. 11 from 9 a.m. to 12:30 p.m. in the Fasig-Tipton pavilion in Saratoga Springs, New York. Empire Racing Club's coordinator Christina Bossinakis will serve as the moderator and there will be four presentations from guest speakers. They are: "Thoroughbred Auctions: Behind the Scenes at a Major Horse Sale," from the Fasig-Tipton team; "Increase Your Odds of Making Money in the Thoroughbred Industry" from the Green Group's and DJ Stables' Len Green, who writes a monthly TDN column; "Buying for the...