On set @ Fast6 with Paul and Vin

[ChIoVnIdCa]

He probably could've chosen to take a cash prize instead of the trip, though. Taxes would come out of the cash, and he'd get what's left.

Still sucks. I think the one GIVING the prize should pay the taxes on it. It's a "promotional expense" after all. You can be damn sure they're writing all that they're paying for off as a business expense!

Say you win a prize... $10,000
Say the taxes were $3,000
So the company gives you $3,000 to cover the taxes
Hmm.. So now they gave you another $3,000...
Now how about the taxes on that $3,000 they gave you.
And so on and so on

I think that may be how it would work.

[deevergote]

Well yeah, if the government was still taxing the recipient... but if the government changed taxation to be the responsibility of the organization giving the prize, rather than the one receiving it, it wouldn't happen that way.

[Accrdwgnguy]

Well yeah, if the government was still taxing the recipient... but if the government changed taxation to be the responsibility of the organization giving the prize, rather than the one receiving it, it wouldn't happen that way.

See, thats the thing. Technically its income. So if you win a prize thats worth 10k, thats like getting 10k cash. Its the same as winning the lottery. Its all income, and you are responsible for taxes on your income.

[h22sparkle]

See, thats the thing. Technically its income. So if you win a prize thats worth 10k, thats like getting 10k cash. Its the same as winning the lottery. Its all income, and you are responsible for taxes on your income.

Well generally yes to a certain degree the prizes won though the company would still write it off and get a portion of it back. The lottery ehh heard about the last guy who won owed 29k in child support and can't touch the money until its paid in full the irony in karma.