Should Rappers Get a Tax Break for "Making It Rain"?
Some rappers are arguing that they should be able to count their MAKE IT RAIN money as a tax write-off. Yeah, they want to deduct it as an expense on their income tax. How do they figure that?
BIZZY BONE says, "I'm giving charity to females who need their light bills paid. So, of course, that's a write-off. You write off your kids, don't you?"
And GAME says, "['Making it rain'] is good for business and promotion that comes with the lifestyle of a rapper. They bump our music in a strip club, so me giving the girls a little bit of change to shake their ass, that comes with the business. Everybody wins."
DAZ DILLINGER says he's going to, "see about getting my taxes fixed as soon as possible." And LIL FLIP says he's actually already used it as a deduction before.
So do they have a point? Maybe. Would the IRS go for it? Probably not. Technically, they might be able to justify deducting strip club tips as an "entertainment business expense," as long as it's not, "lavish or extravagant." So it might be hard for DRAKE to justify dropping $50,000 in a club, but you could maybe get away with a grand.
It could also work under the "advertising and publicity" angle, but the expenses still must be, "reasonable, and are directly related to business." Rappers do say that making it rain is something they do to boost their profile. Regardless, for this conversation to go any further the rappers would need to have RECEIPTS for the money, and it's unclear how that would work.
Also, rap stars, like other celebrities, seem to have a lot of problems staying out of trouble with the IRS. So it's probably NOT a good idea to go take any more liberties on their tax forms.