Black Friday

iVillage Member
Registered: 11-26-2013
Black Friday
876
Fri, 11-29-2013 - 12:24pm

1. Did you do any shopping yesterday or today?

2. Do you have any leftovers? What is your favorite?

3. Do you have a budget for holiday gifts?

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iVillage Member
Registered: 06-27-1998
Wed, 12-04-2013 - 2:41pm

turrkeyday wrote:
<p style="font-size:13px; text-align:left">Only if it's tied to an award of some sort, not just a general give away and that has to be carefully down to avoid it being taxed as a fringe benefit.  Is that the case?  These are tangible annual awards for merit of some sort and <strong>given on a consistent basis over the years?  </strong></p><p style="font-size:13px; text-align:left">Yes, every year.</p><p style="font-size:13px; text-align:left"></p>

Do you have an IRS ruling that supports your claim, I'm not seeing any that would exempt at the cost of a car.  

PumpkinAngel

iVillage Member
Registered: 06-27-1998
Wed, 12-04-2013 - 2:40pm

turrkeyday wrote:
<p style="font-size:13px; text-align:left">Huh? This proves the exact opposite of what you said. <strong>Bonuses and awards are treated as income and you are required to pay taxes as ordinary income.</strong></p><p style="font-size:13px; text-align:left">Other gifts do have some exemption limits, but they are no where near the value of a car.</p><p style="font-size:13px; text-align:left"><strong>I have ALWAYS said my bonus gets taxed. Sigh....</strong></p>

Well you did mention the "tax free" cash in the envelope thing...

PumpkinAngel

iVillage Member
Registered: 12-04-2013
Wed, 12-04-2013 - 2:27pm

Not legally...

I am sure the legal dept. has gone over this with a fine toothed comb to make sure it is legal Laughing

iVillage Member
Registered: 12-04-2013
Wed, 12-04-2013 - 2:26pm

Only if it's tied to an award of some sort, not just a general give away and that has to be carefully down to avoid it being taxed as a fringe benefit.  Is that the case?  These are tangible annual awards for merit of some sort and given on a consistent basis over the years?  

Yes, every year.

iVillage Member
Registered: 06-27-1998
Wed, 12-04-2013 - 2:20pm

turrkeyday wrote:
<p style="font-size:13px; text-align:left">&lt;&lt;<strong>Not true in all situations. I won a car and I was liable. The cars they give out at my job, the winner is not liable.&gt;&gt;</strong></p><p style="font-size:13px; text-align:left">Can you provide an IRS ruling that exempts the receiver of the car from taxes owed on the gift from their employer?  I'm interested in the tax loophole they have found.</p><p style="font-size:13px; text-align:left"><strong>The employer is paying the taxes. You have never heard of that? </strong></p><div></div>

Only if it's tied to an award of some sort, not just a general give away and that has to be carefully down to avoid it being taxed as a fringe benefit.  Is that the case?  These are tangible annual awards for merit of some sort and given on a consistent basis over the years?  

For example, someone here recieved a major gift as an award for service over the years, it was given in a meaningful cermony and is not taxable.  

PumpkinAngel

iVillage Member
Registered: 12-04-2013
Wed, 12-04-2013 - 2:19pm

Huh? This proves the exact opposite of what you said. Bonuses and awards are treated as income and you are required to pay taxes as ordinary income.

Other gifts do have some exemption limits, but they are no where near the value of a car.

I have ALWAYS said my bonus gets taxed. Sigh....

iVillage Member
Registered: 05-13-2009
Wed, 12-04-2013 - 2:18pm

turrkeyday wrote:
<p style="font-size:13px; text-align:left">&lt;&lt;<strong>Not true in all situations. I won a car and I was liable. The cars they give out at my job, the winner is not liable.&gt;&gt;</strong></p><p style="font-size:13px; text-align:left">Can you provide an IRS ruling that exempts the receiver of the car from taxes owed on the gift from their employer?  I'm interested in the tax loophole they have found.</p><p style="font-size:13px; text-align:left"><strong>The employer is paying the taxes. You have never heard of that? </strong></p><div></div>

Not legally...

iVillage Member
Registered: 05-13-2009
Wed, 12-04-2013 - 2:17pm

turrkeyday wrote:
<p style="font-size:13px; text-align:left">Bonuses and awards. Bonuses or awards you receive for outstanding work are included in your income and should be shown on your Form W-2. These include prizes such as vaca-tion trips for meeting sales goals. If the prize or award you receive is goods or services, you must include the fair market value of the goods or services in your income. However, if your employer merely promises to pay you a bonus or award at some future time, it is not taxable until you receive it or it is made available to you.</p><p style="font-size:13px; text-align:left"><strong>Exactly and that is what is done.</strong></p><p style="font-size:13px; text-align:left">Employee achievement award. If you receive tangible personal property (other than cash, a gift certificate, or an equivalent item) as an award for length of service or safety achievement, you generally can exclude its value from your income. However, the amount you can exclude is limited to your employer's cost and cannot be more than $1,600 ($400 for awards that are not qualified plan awards) for all such awards you receive during the year. Your employer can tell you whether your award is a qualified plan award. Your employer must make the award as part of a meaningful presentation, under conditions and circumstances that do not create a significant likelihood of it being disguised pay.</p><p style="font-size:13px; text-align:left"><strong>Exactly.</strong></p>

Huh? This proves the exact opposite of what you said. Bonuses and awards are treated as income and you are required to pay taxes as ordinary income.

Other gifts do have some exemption limits, but they are no where near the value of a car.

iVillage Member
Registered: 12-04-2013
Wed, 12-04-2013 - 2:13pm

<<Not true in all situations. I won a car and I was liable. The cars they give out at my job, the winner is not liable.>>

Can you provide an IRS ruling that exempts the receiver of the car from taxes owed on the gift from their employer?  I'm interested in the tax loophole they have found.

The employer is paying the taxes. You have never heard of that? 

iVillage Member
Registered: 06-27-1998
Wed, 12-04-2013 - 2:12pm

<<Not true in all situations. I won a car and I was liable. The cars they give out at my job, the winner is not liable.>>

Can you provide an IRS ruling that exempts the receiver of the car from taxes owed on the gift from their employer?  I'm interested in the tax loophole they have found.


PumpkinAngel

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