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July 3, 2007
iPhone = iTax: Apple Employees Will Have to Pay IRS for Steve Jobs' "Gift"
Apple has announced that by the end of the month it will give its 18,000 full-time U.S. employees a free 8-gigabyte iPhone (retail price: $599). Apple has not said whether it will also pick up the cost of the wireless plan (two-year contracts start at $59.99). The tax angle? Apple will have to include the $599 on the employees' W-2s as taxable compensation, and the company will have to pay employment taxes on the amount as well. (Hat Tip: TaxGirl.) Press coverage: Reuters, San Jose Mercury News & ThinkSecret. For a related story, see Tax Consequences of Microsoft's "Gift" of Laptops to Bloggers and TaxGirl's coverage.
July 3, 2007 in Celebrity Tax Lore | Permalink
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» iPhone schtuff roundup from Boing Boing
Tart up your iPhone with these 320 x 480 crops of great works by legendary erotic photographer Steve Diet Goedde (produced on request by BB readers' popular demand -- evidently, a lot of Goedde fans read this blog). No full nudity here, just lovely, c... [Read More]
Tracked on Jul 9, 2007 12:39:00 PM
Comments
Apple should just charge the "employees" 1 dollar for the phone and take a WRITE OFF LOSS!
Posted by: unrealworld | Jul 3, 2007 1:25:44 PM
I'd rather pay the sales tax.
Posted by: M. | Jul 4, 2007 10:35:32 AM
Nice job getting the Boing Boing nod.
http://www.boingboing.net/2007/07/09/iphone_schtuff_round.html
Posted by: Scott Brenner | Jul 9, 2007 3:39:15 PM
