The Tax-O-Sphere is percolating with some more juicy tax news about Sarah Palin.
It was revealed recently that the Republican National Committee spent $150k on giving Mrs. Palin a makeover that included new clothes, hair styling and makeup.
Kay Bell of Don’t Mess with Taxes describes the issues well in Palin’s Duds. Uniform? Loan? Donation? and posited the question many tax geeks seem to be asking:
What tax liability . . . . might the Alaskan governor face for accepting the haute coture? Are the fashionable suits, shoes and accessories gifts? Campaign trail uniforms? What?
I know many companies who provide shirts to their staff to wear while at work. Are these shirts includible in those staffers incomes? No, I don’t believe they are. Apparently, putting a little logo on the pocket of an Izod transforms it into a uniform by making the garment “unsuitable for ordinary wear.”
So here’s my solution: The RNC should hire a seamstress to sew into Palin’s new clothes the words McCain/Palin.
Voila! Uniform.
Other Blog Posts on the Taxation of Palin’s Makeover:
The Tax Consequences of Sarah Palin’s $150,000 Makeover – Paul Caron, TaxProf Blog
Palin’s $150,000 Makeover May Raise her Tax Bill- Ryan Donmoyer, Bloomberg News
Palin’s Wardrobe, Care of RNC – Linda Beale, A Taxing Matter.
The Tax Costs of Public Service – Palin Edition – Joe Kristan, Tax Updates
1 response so far ↓
1 Bill Bartmann // Sep 3, 2009 at 11:22 am
Cool site, love the info.
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