[GNC] Another "multi-account" logical issue - any advice on how to register this?

[Michael or Penny Novack]

> I concur in part. In a "hobby", expenses are no longer deductible to the extent of income, as you said,

I did not say that. I said expenses not deductible beyond the extent of 
income (a hobby can generate a taxable profit but not a deducible loss).

For example, if you had both a business and a hobby and the hobby had a 
loss, your income from both of these would be the income (or loss) from 
the business. but if you had two businesses and one of the businesses 
had a loss, your income from both would be the income (or loss from the 
second) minus loss from the first.

In other words, the hobby is treated separately from your other income 
and its expenses are only deductible from its income. The income from a 
hobby is positive or zero.

Michael D Novack