Five-Time Super Bowl Starter Sacked in Tax Court
Bill Romanowski had a lucrative 16-year NFL career, but it seems retirement is proving to be less fruitful. According to AccountingToday, when the Five-Time Super Bowl Starter retired, he found his way into a tax-shelter scheme. Romanowski decided to invest $13,092,732 in a horse breeding-program, which would allow him to offset his taxable income from 1998-2003. The only problem is, his horse-breeding income didn’t allow him to utilize the losses against the income.
According to Forbes, Romanowski was denied his claim because he didn’t enter into horse breeding with the intention of making a profit. Therefore, his activity qualified for the hobby-loss rules and his expenses could only be deducted up to the amount they would have generated income.
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