On Mon, 18 Mar 2013 17:40:55 -0700 (PDT), wrote:


Free cruise, heh? I've always wondered about those. Don't you have to pay tax on that? Ordinary income? Taxed on the suggested retail price, not heavily discounted price everyone else pays, right? How much do you figure this free trip costs?

Many years ago my father won a car in a church raffle. It was a nice
car but they would have had to pay tax on the list price. They sold
the car and only paid on what they got for it. They had to sell to the
dealer or it would have been taxable. This way, they never took title
to it.
They took the money and paid off years of the mortgage.