tax laws gift cards
and any unused portion is forfeited . However, Federal tax law does not view giving an employee a turkey or a ham as the equivalent of giving an employee a gift card to purchase a turkey or a ham. A recently issued Tax Advice Memorandum TAM in 2004 clarifies the tax law and discusses this issue. A gift card is a type of supplemental wage. So, you need to withhold taxes on gift cards the same way as any other supplemental pay. Withhold federal income, Social Security, and Medicare taxes from an employee s gift card amount. If applicable, you may need to withhold state income tax. Tax law says that because gift certificates and gift cards are cash equivalents, or easily convertible to cash, they do not meet the requirements to be excluded from income. Furthermore, since the value of the gift card or gift certificate is easily determinable, they must be treated as wages, subject to payroll and income taxes. The law provides that gift cards cannot expire within five years from the date they were activated and generally limits inactivity fee on gift cards except in certain circumstances, such as if there has been no transaction for at least 12 months. Google can t review social media pages that have been set to private, no matter how much traffic or engagement those pages may have. Most social media services still aren t as flexible as a full-fledged website when it comes to handling e-commerce, database applications, forms, or other myriad features involving real-time data entry. Most third-party apps on social media that offer some of this functionality can t give you the same degree of control as you have on your website. Your website or blog benefits from links to your site from social media pages. In particular, make sure your profile is public and contains links to your site. SEO remains necessary, though not sufficient, method of ensuring site visibility based on a method other than the number of friends, fans, or followers you have. You re chasing profits, not popularity. You can incorporate a special tag for links forwarded by others, although you might not be able to tell how they completed the forwarding for example, from a ShareThis feature versus email unless you have implemented social media plug-ins. It all depends on what you re trying to measure. You ll get the best of both worlds. First, you ll take advantage of the huge reach that mass media offers. Second, you ll leverage that reach with the frequency you can get from the Internet. Given its rapid rise in popularity and its hundreds of millions of worldwide users, social media marketing sounds quite tempting. These tools require minimal upfront cash and, theoretically, you ll find customers flooding through your cyberdoors, ready to buy. It sounds like a no-brainer but it isn t, especially now that so many social media channels have matured into a pay-to-play environment with paid advertising. Social networks are spin-offs of content systems. Instead of pooling content for eyeballs, people are pulled into groups, or tribes. Facebook started off as a pool for college-aged students and evolved into a generic social network for all ages. MySpace targets the high school crowd. LinkedIn hits the upwardly mobile professional. Social networks are mere aggregators of like-minded communities, from mystery novel writers to gear heads who like to rebuild engines on the weekend.