Tax News


The 2012 Oscars: Celebrity Swag Bags and Taxes [Video]

February 26, 2012 : Jenna Bromberg - Past Contributor

Even if the celebrities walking the red carpet don’t take home any Oscar hardware tonight, most won’t be leaving empty-handed.

Between the plentiful freebies given out in sponsored luxury gift suites and the loot in official ‘swag bags,’ A-listers have been known to score up to $100,000 in free gifts at awards shows like the Oscars (think lavish vacations, high-end beauty products, electronics and jewelry). Not bad, eh?

But what many people don’t know is that in the eyes of the IRS, these freebies aren’t so free at all: the trips, the jewelry and the $500 face cream is all considered taxable income. Seriously.

In our latest video, H&R Block Social Media’s Matt Staub & Jenna Bromberg discuss the tax implications of Oscar swag — and why some celebrities no longer accept these fabulous freebies at all.

[Image: Beacon Radio via Flickr]

Jenna Bromberg - Past Contributor

Jenna Bromberg - Past Contributor

H&R Block

Jenna helped manage the national social media programs at Houlihan's Restaurants, Inc. and was a copywriter for all three brands in the HRI family before joining H&R Block.

Copyright © 2014-2015 HRB Digital LLC. All Rights Reserved.