Oscar swag bags loaded with taxable goodies
Even if you never watch Hollywood’s seemingly endless lineup of awards shows, you’re probably aware that the celebrities who appear on those programs are thanked with gift bags loaded with expensive items. Until a few years ago, the recipients assumed that, because the term gift was used, all that loot was free. Then the Internal Revenue Service stepped in to disagree.
- Reporting compliance by the stars and other gift bag recipients
- Completion of Form 1099 as appropriate by those providing the items to the stars and other recipients
- Tickets for an African safari for up to eight adults and eight children worth $45,000, complete with a personal chef at the Lion Sands Game Preserve in South Africa
- $14,500-stay at the Monte Carlo Beach Hotel in Monaco
- Trip to the Winvian Luxury Hotel in Connecticut worth $17,000
- Virgin Atlantic gold cards, which provide access to world-class lounges, priority check-in, upgrades, and limousine service
- Limited edition Swiss Army leather suitcases valued at $4,000
- One-week fitness boot camp worth $4,850, Slimware portion-control plates, and 10 personal training sessions
- $500 La Peau Couture anti-wrinkle face cream
- Tiffany crystal-studded cat collars
- FlipCam for cats and, for dog owners, a voucher for a session at a professional dog photo studio
- Various high-end hair and skin care products, one-year supply of Altoids, pig board game, Zen CDs, personal security alarm, certificate for an indoor skydiving experience, voucher for a $1,600 Serta mattress, and a carbon-free personal shredder
- Celebrities Treasures Tarnished: IRS Taxes Gifts & Goodie Bags
- Celebrity Gift Bags: "Thanks, But No Thanks"
Voice of the Editor
Which isn’t completely true. I mean, occasionally I drop by when I manage to sneak out of the nonstop frat party over at Going Concern, but I’m mostly a wallflower over there. I’m happy to say that I’ve been given express permission (or explicit orders, if you like) to wander over here to AccountingWEB more often.
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