Do you have to pay taxes on 1 VS 100 winnings?

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Buffmaster1

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#1 Buffmaster1
Member since 2008 • 161 Posts

Maybe theIRS will target gamers to make up for lost revenue.

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chaoscougar1

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#2 chaoscougar1
Member since 2005 • 37603 Posts
i dont think they award cash prizes, so no
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ieatnoobs18

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#3 ieatnoobs18
Member since 2009 • 1190 Posts
Wow, i never thought about it. Prob. not, or maybe M$ pays the taxes for us. But we're not really winning anything real, just M$ credits. So prob no.
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CardiacKid07

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#4 CardiacKid07
Member since 2007 • 1225 Posts
i dont think they award cash prizes, so nochaoscougar1
Yea they can only tax cash prizes as far as i no
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AJC3317

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#5 AJC3317
Member since 2003 • 2546 Posts
knowing microsoft, it wouldn't surprise me
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TaxAndDeath

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#6 TaxAndDeath
Member since 2009 • 456 Posts

There is no tax on virtual items hence why when you buy a point card its 19.99 not 20.99.

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Legolas_Katarn

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#7 Legolas_Katarn
Member since 2003 • 15556 Posts
knowing microsoft, it wouldn't surprise meAJC3317
I didn't know that Microsoft controlled the government and the IRS.
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chaoscougar1

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#8 chaoscougar1
Member since 2005 • 37603 Posts
[QUOTE="AJC3317"]knowing microsoft, it wouldn't surprise meLegolas_Katarn
I didn't know that Microsoft controlled the government and the IRS.

well they have enough money so who knows haha
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tjoeb123

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#9 tjoeb123
Member since 2004 • 6843 Posts
Wow, i never thought about it. Prob. not, or maybe M$ pays the taxes for us. But we're not really winning anything real, just M$ credits. So prob no.ieatnoobs18
That and you can also win XBLA games as well.
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cool_beans1

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#10 cool_beans1
Member since 2009 • 458 Posts
lol my friend and I made that same thing after seeing some guy walk away with 6000 points. I don't think so but thinking of it still being a possibility makes me lol 'cause you never know with MS.
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zero9167

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#11 zero9167
Member since 2005 • 14554 Posts
just want to mention 1v100 is in beta right now no one is actually winning any prizes
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deactivated-5d4b602d21842

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#12 deactivated-5d4b602d21842
Member since 2006 • 5036 Posts

[QUOTE="Legolas_Katarn"][QUOTE="AJC3317"]knowing microsoft, it wouldn't surprise mechaoscougar1
I didn't know that Microsoft controlled the government and the IRS.

well they have enough money so who knows haha

They control you too.

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chaoscougar1

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#13 chaoscougar1
Member since 2005 • 37603 Posts
lol my friend and I made that same thing after seeing some guy walk away with 6000 points. I don't think so but thinking of it still being a possibility makes me lol 'cause you never know with MS.cool_beans1
once again, what does MS have to do with tax?
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deactivated-5d4b602d21842

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#14 deactivated-5d4b602d21842
Member since 2006 • 5036 Posts

[QUOTE="cool_beans1"]lol my friend and I made that same thing after seeing some guy walk away with 6000 points. I don't think so but thinking of it still being a possibility makes me lol 'cause you never know with MS.chaoscougar1
once again, what does MS have to do with tax?

Once again, THEY OWN EVERYTHING!
Including your rights.

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starcher5150

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#15 starcher5150
Member since 2003 • 449 Posts

Legally you have to pay taxes on any noncash prize won based on the fair market value but I believe it has to be valued at over $200.

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FUBAR24

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#16 FUBAR24
Member since 2005 • 12185 Posts
lol my friend and I made that same thing after seeing some guy walk away with 6000 points. I don't think so but thinking of it still being a possibility makes me lol 'cause you never know with MS.cool_beans1
you do know that you dont actually get any points during the beta right
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SonicDivision

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#17 SonicDivision
Member since 2007 • 185 Posts

Think about what you're asking. How could they possibly tax something that has no intrinsic value? MS points are basically monopoly money that MS makes you pay for first.

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Buffmaster1

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#18 Buffmaster1
Member since 2008 • 161 Posts

Think about what you're asking. How could they possibly tax something that has no intrinsic value? MS points are basically monopoly money that MS makes you pay for first.

SonicDivision

That's why I was asking

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djrobst

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#19 djrobst
Member since 2007 • 2404 Posts
[QUOTE="Buffmaster1"]

[QUOTE="SonicDivision"]

Think about what you're asking. How could they possibly tax something that has no intrinsic value? MS points are basically monopoly money that MS makes you pay for first.

That's why I was asking

theres nothing to put a tax on so... even if there was if you win cash theirs either no tax, or the tax is paid by the people putting up the prize money, depending on ur location thats how all gameshows work. u dont get taxed on ur winings. its either tax free or the figure u win is gross'd out by the people paying you it.
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hansmacher

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#20 hansmacher
Member since 2003 • 900 Posts

[QUOTE="Buffmaster1"]

[QUOTE="SonicDivision"]

Think about what you're asking. How could they possibly tax something that has no intrinsic value? MS points are basically monopoly money that MS makes you pay for first.

djrobst

That's why I was asking

theres nothing to put a tax on so... even if there was if you win cash theirs either no tax, or the tax is paid by the people putting up the prize money, depending on ur location thats how all gameshows work. u dont get taxed on ur winings. its either tax free or the figure u win is gross'd out by the people paying you it.

umm no gameshows dont pay the tax for you, you are supposed to file it on your taxes at the end of the year to the person about the microsoft points being 19.99 instead of 20.99, that is sales tax not income tax By the rules of the fed tax laws, since Microsoft has put a value on its points than it would be a taxable award and even if they didnt the IRS could decide a value. The point is unless the person got audited it would never come up.

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charomid

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#21 charomid
Member since 2005 • 901 Posts

i just have one question about the 1 vs 100. is there REAL prizes for the beta right now? i just want to clear it up because i am getting mixed answers from many people who play the game. also, when the full version of the game comes out, is there going to be prizes for that?

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Leo-Magic

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#22 Leo-Magic
Member since 2005 • 3025 Posts

Maybe theIRS will target gamers to make up for lost revenue.

Buffmaster1
they will give you MS points. so Im sure there is no Taxes.
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hansmacher

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#23 hansmacher
Member since 2003 • 900 Posts
[QUOTE="Leo-Magic"][QUOTE="Buffmaster1"]

Maybe theIRS will target gamers to make up for lost revenue.

they will give you MS points. so Im sure there is no Taxes.

have to pay taxes on the fair market value of the prize
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tjoeb123

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#24 tjoeb123
Member since 2004 • 6843 Posts

i just have one question about the 1 vs 100. is there REAL prizes for the beta right now? i just want to clear it up because i am getting mixed answers from many people who play the game. also, when the full version of the game comes out, is there going to be prizes for that?

charomid
No, yes.