Frequently Asked Tax Questions And Answers
Keyword: Prizes
4.4 Interest/Dividends/Other Types of Income: 1099 Information Returns (All Other)
How do I report income received as a prize or award?
If you win a prize in a lucky number drawing, television or radio quiz
program, beauty contest, or other event, you must include it in your income.
For example, if you win a $50 prize in a photography contest, you must report
this income on line 21 (other income), Form 1040. If you receive merchandise,
you must report the fair market value of the item(s) as income. Refer to Chapter
13 of Publication 17, Your Federal Income Tax, for additional
information.
References:
I won $250 in a charity raffle. Where do I show this on my return?
Gambling winnings are fully taxable and must be reported on your tax return.
You must file Form 1040 (PDF) and include all your
winnings on line 21 (other income). For information on deducting gambling
losses. Refer to Tax Topic 419, Gambling Income and Expenses,
or Publication 529, Miscellaneous Deductions, .
References:
|
