vpFREE2 Forums

Quick suggestions needed -- do I want to win this prize?

#1

Also, if you win a drawing or win a prize, you do not have to use the
paperwork amount as income as that is usually a much-inflated amount. For
all such "prizes" - gambling or not - the IRS allows the "fair market
value." I discuss that at length in the book since I have had personal
experience winning a car with a sticker price on the 1099 but I sold it back
to the dealer for a lesser amount, which I used for my tax return. You must
add a note of explanation, however.

This is correct. I won an Alaska Cruise and used the newspaper advertised price on my tax return rather than the 1099 inflated amount. That was the good advise I got from Marrisa.

···

--- Original Message ----
From: Jean Scott queenofcomps@cox.net

      ____________________________________________________________________________________
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[Non-text portions of this message have been removed]

#2

I won a 46 inch tv from a website 12 years ago and was
given the same advice from the IRS since I knew the
$3,500 retail value was inflated. I was able to use
the discounted rate from a newspaper ad.

···

--- John Clark <jaycee5353@yahoo.com> wrote:

--- Original Message ----
From: Jean Scott queenofcomps@cox.net

Also, if you win a drawing or win a prize, you do
not have to use the
paperwork amount as income as that is usually a
much-inflated amount. For
all such "prizes" - gambling or not - the IRS allows
the "fair market
value." I discuss that at length in the book since I
have had personal
experience winning a car with a sticker price on the
1099 but I sold it back
to the dealer for a lesser amount, which I used for
my tax return. You must
add a note of explanation, however.

This is correct. I won an Alaska Cruise and used the
newspaper advertised price on my tax return rather
than the 1099 inflated amount. That was the good
advise I got from Marrisa.

____________________________________________________________________________________

Be a better friend, newshound, and
know-it-all with Yahoo! Mobile. Try it now.

http://mobile.yahoo.com/;_ylt=Ahu06i62sR8HDtDypao8Wcj9tAcJ

[Non-text portions of this message have been
removed]

      ____________________________________________________________________________________
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