Rebuttable Presumption

Rebuttable Presumption means:
a factual presumption that can be overturned by showing significant contradictory evidence or the happening of a certain event or certain events. If a profit is not shown in 3 out of any 5 consecutive years (2 out of 7 if horses are involved), there is a rebuttable presumption that an activity is not engaged in for profit (e.g., it is a hobby). Former IRC (check if this IRC provision is current here) §183. See collapsible corporation; Former IRC (check if this IRC provision is current here) §34l(c).