>Also, with respect to freeplay, gifts, and comps it was an eye opener to me that gifts and comps really don't have to be reported. A couple of questions though... say I get a coupon for $50 dining in my mailer or through some kiosk promotion. Does this have to be reported if I use it?
I was audited a long time ago and I volunteered the information that I
hadn't included comps in my income. The auditor said "I didn't hear
that" and never made an issue out of it.
>Also, a much bigger question, what about points that you have? For example say you have 1000 players club points that can be turned into $1000 freeplay, $1000 dining, $1000 cash back, or $1000 in gift certificates. For each of these scenarios, would it be proper to report or not report it?
I account for these on a cash basis and have never had a problem.
Accounting for comps and points probably both fall into the large
category of issues for which there may be a technically correct way to
do it, but, for practical purposes, you might as well do it the way
you want to, since the most you're going to risk is to be billed,
possibly with interest and penalties, which, generally, has a tiny
chance of happening. It's not in the same league as, say, having many
$9900 transactions with banks.
Posted by: 007 <007@embarqmail.com>
| Reply via web post | • | Reply to sender | • | Reply to group | • | Start a New Topic | • | Messages in this topic (2) |
