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Wednesday, December 25, 2013

Santa's Tax Bill

SANTA CLAUS 1040_Page_1

Forbes:  The True Cost of Christmas: Santa's Tax Bill, by Kelly Phillips Erb:

[W]e’ve had quite a few discussions in my household about how Santa manages, in one night, to get all of his work done. Clearly, he has help. And that has financial and tax consequences, right? So we had a little chat about Santa’s money and his tax bill. And here’s what we – a tax attorney and three kids – decided: ...

His deductions appear to far outweigh his revenue, at least according to our mostly very unscientific surmisings. That said, Santa, if you’re reading, two quick things: One, I realize I’m not under age 14 but I’ve been really, really good this year. Just saying. Two, taxes can be confusing. It wouldn’t do to see Santa audited so call me with any questions. You have the number (my kids are sure of it).

From Jay Katz:  Christmas is the Time of the Year when Tax Nerds Mostly Wonder:

10. If every person who sings Christmas songs is named Carol.
9.  If a person who does not believe in Santa is a rebel without a Claus.
8.  If a prudent taxpayer should shop only at the After Tax Dollar Store.
7.  If Santa’s helpers are W-2 employees or 1099 subcontractors.
6.  How long it takes to prepare and file all of Santa’s gift tax returns.
5.  If Santa is entitled to a tax credit for every solar paneled chimney he goes down.
4.  Whether Santa should depreciate or take the standard mileage deduction for his reindeer.
3.  Whether Santa’s workshop qualifies for a home office.
2.  Whether Santa can take a hobby loss for the model airplane that fell out of his bag.
1.  Whether it is fair that Santa has to work every Christmas Eve.

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Celebrity Tax Lore, Tax | Permalink

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