Free food is such a staple of Startupland that when Marissa Mayer introduced free food to Yahoo, she was heralded like Moses stepping down from Mt. Sinai, stone tablets in hand. But the Wall Street Journal reports that all that gratis grub could land tech companies in trouble with the IRS.
That’s because, to the enforcers in Washington, these perks look an awful lot like another form of compensation, and the IRS often considers regular meals a taxable benefit.
The Journal reports:
It's Zuck's World We're Just Living In It
Here’s something to soothe the pain for anyone who’s going to have to cut the IRS a check next month. CNN Money got a team of California accountants to calculate the taxes due on Mark Zuckerberg’s 2012 business dealings, and they concluded that he’ll owe more than a billion dollars come April.
TMZ has written the only tax story you’ll ever need to read. Rappers like The Game, Jim Jones, Bizzy Bone, and Daz Dillinger tell the site that they plan on trying to deduct expenses on their income tax filings for making it rain at strip clubs.
The logic is two-fold. First there’s the write-off Read More