Comment on Meta spent $4.3 billion on its VR division in three months, and made *checks figures* $440 million in return

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chiliedogg@lemmy.world ⁨6⁩ ⁨months⁩ ago

Write-offs are entirely misunderstood by people. Writing off losses doesn’t magically make loss profitable.

I’ll use myself as an example. I teach underwater photography at a university as a side gig. Last year I made about $3,000 teaching the class, and I also spent about $1,000 on underwater camera gear for the class. Because of that I get to reduce my taxable income by $1,000, so it’s as if I made $2,000.

At my tax bracket a write-off reduces my income taxes by 22% of the expense. So on a thousand-dollar purchase I’m still losing nearly 800 bucks.

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