Iowa Department of Revenue Letter of Finding No. 11201100 (Dec. 2, 2010)

(taxpayer not entitled to claim deductions from llama operation because not engaged in with requisite profit intent; no separate business account maintained, not members of any llama registry during years at issue, only 3 hours daily spent in business, no llamas sold for several years, no attempt to increase breeding quality, taxpayers lied about conversations with llama expert, no reasonable expectation that assets would appreciate in value, no experience in livestock operations, significant losses incurred for many years, no income, substantial income from other sources present, elements of personal pleasure present).