If you have a harness racing horse related tax problem, there are very few better in the country to speak to than Larry Rosenblum.
“My specialty is problem solving any tax problems in the horse industry,” stated Rosenblum, owner and founder of the Equine Tax Group. He is known throughout the Standardbred, Thoroughbred and pleasure horse industry because of his knowledge of the tax laws and how they relate to the horse industry. He is consider one of the premier “hobby loss” experts in the country having won many such cases throughout the United States involving virtually every breed of horse
Larry Rosenblum knows what he is talking about. He is former IRS Agent/ Manager with over 35 years of experience in the tax field. Larry was a groom at Roosevelt Raceway at age 16 and has been around racing for many years as both an owner, and tax professional. He has owned stakes horses, invitational horses and $1,000 claimers during his career. Larry knows the equine industry..It’s been his life since he was a teenager. He has been a guest columnist and speaker for many equine magazines and shows.
“We work with people that have problems,” Rosenblum said. “That’s our number one goal. Our best clients are owners, trainers, jockeys and drivers of all breeds.
“The biggest problem is the “Hobby Loss” issue, Rosenblum explained. “Owners that lose money year after year are going to eventually get nailed by the IRS. You can’t just lose money year after year in the horse business. Have no business plan and never make money, you’re in deep trouble. You have to have a game plan.
“We can help horse owners before they have a problem with preventative maintenance,” Rosenblum stated. “We help them develop a proper business plan, make recommendations, go over with them how to work at making money with their stable. Owners can’t just go ahead willy-nilly and not know what they are doing.
“I get a lot of people who have been in the business for ten to fifteen to twenty years and they have never made a dime.” Rosenblum said. “They have never changed the way they do business. They have never changed trainers. Think about it…many people in the horse business love it so much they tend to lose money year after year and just go along for the ride. They treat racing like a hobby and not a business and that’s where the problems are. People continue to lose money with the same trainer year in year out
“If you had a business outside of horse racing that lost money year after year…you would get rid of your manager, make necessary changes to try and create positive cash flow or else you would quit and find other work. You would not continue to lose money year after year. But too many people in our industry don’t see it that way.” Rosenblum said.
“Numbers don’t lie, Rosenblum explained. “If you are serious in the horse business then you have to hire trainers who are successful and have a proven record. You need to have a game plan on how you will make money with the horses. I am here to help anyone get on the right path. They can follow the advice or not.
“Another big problem is with drivers and trainers not keeping records,” Rosenblum said. They keep their records in the glove box of a pickup truck. We teach them how easy it can be to take a little time and keep accurate records so that if and when, and the IRS will come calling, they are prepared to show them their records for the past years. If not they are looking to get socked and financially ruined.
“We also do record reconstruction,” explained Rosenblum, “but it is time consuming and can be expensive… It’s so easy to keep basic records that will help in the long run. If you have no records and you are a trainer we can go back and show you what you earned every month and then break it down to expenses for just about everything. Other accountants just can’t do it because they don’t know the horse business.
“Why hire me?” Roseblum says with a straight face, “Because I am also a horseman and understand the business better than most anyone. And I have the staff in my office that can help anyone in the horse industry with their IRS problems.
“I had a trainer who never kept records and the IRS came after him for $150,000 in back taxes, fines and penalties,” Rosenblum said. “He was lost and had big financial problems. But I was able to help him and to make a long story short, when we were done he walked away paying just $20,000 and that included my fee!”
He may be bold and brash and right to the point, but Larry Rosenblum has helped a lot of horse people over the years and like the old E.F. Hutton TV commercials use to say….”When Larry Rosenblum speaks…people should listen.”
Larry Rosenblum can be reached at the Equine Tax Group, www.equinetaxgroup.com, or by phone at 844-777-7200. His website has tons of free information to check out too.
By Steve Wolf for Harnesslink.com