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Tis The Season of GivingIt should not surprise you that the IRS has rules on gifting that you should keep in mind this holiday season.

For your business:

•    Any cash gift given to your employees is to be included in their taxable wages.
•    If you give business gifts to clients or associates you may only deduct up to $25 of a gift given to each person

Personal gifts over $14,000 in cash or property require a Gift Tax return to be filed and are taxable to the donor.

Charitable contributions of cash need to be documented no matter the amount, but specifically amounts over $250 need to be documented by the qualified organization.

These are just a few of the general rules the IRS has.   There are other rules and exemptions so if you have further questions feel free to contact me.

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