Use Sign-On bonus to buy a car
Say you’re a new grad and you get a signing bonus of $80k or smth at Facebook. Could you buy (or FB buy you) a car using pretax money? Like could it be considered a relocation benefit then just have the cost of the car taken out of ur signing bonus then just take the left over as taxed income? this is all hypothetical so I dont have any recruiter to ask but I was just wondering
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A car is obviously not a relocation expense. And relocation reimbursement is still taxable anyway, so the answer is doubly no. Even if the company bought you the car, you would owe tax on the value of the car thay they bought for you
Gotcha doubly thanks
IRS will take your balls
Remember when Oprah gave everyone a car? They all had to pay income tax on that. Gift giving in America is pretty BS
This is only true because the cars were considered a promotional prize, not a gift. You do not pay taxes on received gifts in the US.
Up to $15k. Called gift tax. If you get a car, you calculate the value of the car and giver pays tax on anything above the 15k
You will be taxed for life on everything you are paid
Weird flex but ok