Oscars Gift Bag Could Mean Big Taxes
While the Oscars gift bag from Distinctive Assets isn't officially associated with the awards ceremony (as we saw last year), we still like to see the extravagant giveaways attendees receive. And it's fun to think about stars just walking away with bags full of designer products and vouchers for dream vacations, but they do come at a price. As they say, the taxman waits for no one.
The Guardian reported that the IRS now considers the gift bags income, and therefore, taxable. This year's gift bag equates to just about $200,000, and includes trips to Hawaii and California, sessions with personal trainers, and more.
So, with about $200,000 in additional income, April 15 could be a tougher day than usual for some of Hollywood's elite.
However, there is one way out of it: Recipients can donate the bag's contents to charity.