December 21, 2022 / Press
Robert Strauss Speaks to Wealth Management On Tax Implications Surrounding Survivor Winner’s Donation of Prize Money
Robert Strauss was recently quoted in Wealth Management’s article “Survivor Winner Pledges Entire $1M Prize to Charity,” which discussed the tax implications of the recent winner Mike Gabler’s choice to donate his prize money in support of the veterans. The Internal Revenue Code Section 74(a) specifies that prize money is to be included in gross income, raising the question of how much Gabler can claim as a charitable deductible.
The deductible will largely depend on Gabler’s current income tax return. Robert explained, “It’s possible that he would not be able to deduct the full amount currently, which would result in the need to pay some income tax now, with the remaining deduction happening in subsequent years.”