USA Gifts to Social Media Influencers

[AnitaAmeen]

If I gift my product to social media influencers would I provide them a 1099-NEC for the cost or the FMV of the items gifted? If the 1099-NEC is to be at the FMV how would I record that?

 

[kirby]

If it is truly a gift, then you do not file a 1099. If the gift is over $15,000 then you file a gift tax return. And if you need someone else to send a gift to, I am available.

 

[AnitaAmeen]

It would qualify as more of a bartering transaction. Free merchandise is being provided with the expectation that the influencer will market the product on their various social media platforms.

 

[kirby]

Oh, sorry I gave you the wrong info. I thought for some reason this was about a gift. Hey, wait a minute. That’s what YOU told me!
Anyway, read this.

How Social Media Influencers Are Taxed In the U.S.

Social media is fun; IRS notices are not! Here's what social media influencers need to be aware of concerning taxation of their income.

www.taxwarriors.com

 

[AnitaAmeen]

I should have not stated gift. Thanks for the response.

 

[Rick]

The only thing worse than BEING an influencer is BELIEVING one.

Further, do not EVER use the term EXPERT when referring to yourself. That is for others to determine.