Thanks to lobbying from the Nashville Songwriters Association International, the songwriter-musician capital gains tax break was added to the Internal Revenue Code on May 17, 2006, but initially only for a period of 5 years. A mere 6 months later, the tax break was made permanent by the Tax Relief and Health Care Act of 2006, in order to help the health of songwriters and musicians everywhere.
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If the songwriter or musician loses money on a project, he or she may recognize an ordinary loss (instead of a capital loss) that provides further tax savings. Songwriters and musicians therefore have the best of all tax worlds compared to all other artists, as long as their work is sufficiently "musical" to qualify for the tax break. There is no authority as to whether One Direction is considered music for tax purposes.