A client came to me from another preparer. In reviewing his prior year I found a Schedule C with no income just a $10,000 deprecation. I went back to the year prior to that and figured out what the client had done. He had made a deal with his solar installer to allow potential clients to come over and look at his installation and ask questions. For this he received a substantial discount. The year this happened he claimed the discount as income on a Schedule C and expensed the cost of the solar panels as a depreciable deduction. The following year he just claimed the depreciation but no new income. He is wanting to do this again this year. 

Anyone have any thoughts?