Gary is an architect who also sings at weddings. This year, he received $5,400 in fees for his singing and spent $6,250 on voice lessons, sheet music, and travel to the weddings. Which of the following statements is true?
A. Gary can deduct his $850 hobby loss as an itemized deduction.
B. If facts and circumstances support Gary's claim that his singing activity is a business, he can deduct an $850 above-the-line loss.
C. Because Gary's primary source of income is his architecture practice, he can't treat the singing activity as a business.
D. Because the singing activity resulted in a loss, Gary can't treat it as a business.
Answer: B
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