This past Sunday, Hollywood’s finest honoured the year’s cinematic achievements in film. While winners walked away with coveted titles and their golden trophies, other nominees received the highly sought after Oscar swag bags… accompanied by an IRS Form 1099.
Yes, you read that right. With headline after headline breaking down the contents of the most expensive swag bag in Oscar history, most headlines have failed to mention the hefty tax that comes along with it.
Some may view it as a gift but in the eyes of the IRS swag bags are income. Regardless of whether or not the 21 recipients accept the payment, donate it to a charity, or decline it, they all have to pay taxes on the market value of the goods and services.
With the consolation prize valued at $168,000, based on the 2014 state income tax rate of 13.3 per cent in California, nominees have to pay roughly $22,344 and that must add a little salt to the losing nominees fresh wounds.
Below, we’ve rounded up the top five ways we’d rather spend that $22,000.
- Purchase 1,692 movie tickets
- Purchase 956 meal combos (popcorn, drink and candy) to go along with the movie tickets
- Fly round trip from Toronto to Los Angeles 31 times
- Stay in a one bedroom deluxe suite at the Shangri-La for 54 nights
- Enjoy 80 manicures, hair styling and makeup sessions at the Four Seasons so you can always be red carpet ready
If you’re curious, click here to see how the Canadian Screen Awards swag bags measure up to the Oscars.