Are credit card rewards taxable?

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13 posts
Crashem
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Postby Crashem » Mon Aug 27, 2012 11:17 am

Still seen as rebate or discount so not taxable. Checking account bonus on other hand can be seen as income I guess. But I would guess then you could deduct your checking account fees against that income.
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jlam572
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Postby jlam572 » Wed Aug 29, 2012 2:07 am

jeffysdad wrote:I don't think CC rewards are taxable, but as a side note I read the other day that banks that offer bonuses for opening new checking accounts are reporting that bonus money they pay you to the IRS.




Yup I opened a checking acct with chase a few years back for a $100 bonus if you deposit $100 in the account. Got the tax 1099 form in january for it and was like O.o
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Gothicmoocow
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Postby Gothicmoocow » Wed Sep 05, 2012 11:31 am

tgmind wrote:I have a small business and spend about 200k a year on my credit card. If I use a cash back card will I have to pay income tax on the rewards? I assume I will, and that's why i choose an airline card.


Looked this up way back when i first got a reward card, its a no :)
jlam572 wrote:Yup I opened a checking acct with chase a few years back for a $100 bonus if you deposit $100 in the account. Got the tax 1099 form in January for it and was like O.o

Lol yeah its on the fine print of their disclosures.



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