Glenn is an accountant who races stock cars as a hobby. This year Glenn was paid a salary of $82,000 from his employer and won $2,200 in various races. What is the effect of the racing activities on Glenn's taxable income if Glenn has also incurred $4,400 of hobby expenses this year? Assume that Glenn itemizes his deductions.
Multiple Choice
Increase in taxable income of $2,200
Increase in taxable income of $1,684
No change in taxable income
Decrease in taxable income of $716
Decrease in taxable income of $2,400