The Gift Letter..."Prizes v. Gifts...

[Carolyn Richardson]

>>Sir Kief here...writings from Lorraine's account. Let's see if I've got this
straight. "Prizes" for _winning a Competition_ are OK. "Gifts" are not. I
would put a thought before you... The "gifts" that are given to the incoming
Crowns are a _direct_ result of one of Their Majesties _winning a competetion_
Without the _winning_ of Crown Tournament those folk would have never received
a single "gift". The point being that all Stepping Up and Stepping Down "gifts"
 are, in actual fact, "prizes". Just as there are no set rules as to what is
given to the winners of the various Tournaments throughout the Kingdoms (other
than a $600.00 limit per person, per year, I seem to recall.) All of the things
given any Crown are the "prizes" resulting from the _winning of a competition_.
In my opinion, which is not necessarily humble, my interpretation falls within
the Spirit of the law, as well as within the Letter of the law. Also, given the
recent letter on the tax status, these "prizes/gifts" fall under the 
"educational purpose 
of the Society" a "re-creation of the historical practice of giving the new
Crown their just due". <<

I rather think the IRS would see it in a different light, Sir Kief, and pardon 
my saying this (no insult intended) but this kind of thinking is what lands 
people in jail for tax fraud.  A prize tends to imply some sort of contract (I 
win, you give me this).  There is no obligation on gifts (we want you to have 
this just cuz you're such a nice guy).  And besides, if you start calling these 
"gifts" prizes, you've just pushed youself over that magical $600 limit and the 
"prizes" given to the Crown would have to be reported as income by them.  Do 
you think this would go over any bettter?

Carolyn