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I have got a question regarding a car giveaway!

F

FOZZIE BEAR

Guest
Heres the deal...

IS there any way of giving away a CAR to a listener and making it TOTALLY FREE to the listener? Meaning, they wouldn't have to pay ANY taxes. Could you get a second sponsor to cover the TAX on the car the winner would have to pay? Or is that just how it goes?

I have never bothered with a car give away for the simple fact that I wanted it to be free and clear for the winner. I have been apart of car giveaways... However, I have never said..."HEY! LET'S GIVE AWAY A CAR" on my own.... just for that simple fact.

Just curious.



Also, and this is just a side not or more of a RANT. However, we wanted to do a MASS GAME OF MUSICAL CHAIRS, a while back. I had been approached by a sales person who ask for a promotion to give away a massive prize. We came up with the musical chairs idea. Well, actually... we first came up with a COUCH-POTATO-THON.... where the winner would end up winning the prize. However, the client and their lawyers... didnt want to get SUED by anyone. *Someone might sue becuz they ended up PEEING THEIR PANTS becuz they didnt want to get off the couch etc... This was around the same time that one station was getting sued or taken to court becuz that woman had died from drinking to much water. We honestly were stunned that the client and their lawyers thought they might get sued by someone with this specific promotion. So, we said... "Lets do the musical chairs".... we were told, after about a month of waiting for this sales person to get back with us, that the client decided to pass on the idea. Personally, I don't think they really took the time to pitch it to the client. This would have been a huge promotion. We would have been able to get TV coverage etc... Well, I am sitting there in my car and I am listening to the competition the other day and what do my ears hear????? They are doing the FREAKING MUSICAL CHAIRS PROMOTION!!!!!!! Of course, they are not doing it with the same client. However, they are doign it and it will be HUGE for them!

Now, I don't know what real purpose this RANT serves... I am just really pissed. I don't know if the sales person didnt have enough of a SPINE to truly express to those specific clients that this would have been a HUGE DEAL? Or if this just simply shows how DAMN STUPID clients can really be?

It's probably a little of both.
 
Any kind of "tax free" giveaway runs into one major hurdle: the amount of money awarded to cover the tax is, itself, subject to taxes.

So, let's say you give away a $20,000.00 car and $8,000.00 cash to cover taxes. Well, the government would then want taxes on a prize of $28,000.00, so the $8,000.00 wouldn't be enough. Maybe a clever accountant could come up with the proper numbers that would cover the taxes on the prize and itself, but it might be a bit of number crunching.
 
Hire a C.P.A. who is up on U.S. Tax Code. But "Pab" is right... anything awarded is subject to tax.
 
I think Who Wants to Be a Millionaire did this "H&R Block will pay your taxes if you win the million" ... actual prize to be awarded was over $1.1 million. Obviously it would less than 100,000 if you only gave away a $20,000 car.

Per Fred Richards.
 
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