4 holiday bonus, gift mistakes that could make you look foolish

By Christian Schappel

 

‘Tis the season for confusing tax liability. And while you’re busy acting like Santa Claus, the last thing you want is for the Grinch — a.k.a., the IRS — to show up, looking to fill its stockings with your hard-earned cash.

The best way to keep the IRS from dampening your holiday spirit is staying in-the-know about the common holiday accounting mistakes that attract its auditors.
A quick rundown of what will land you on the IRS’ naughty list:

1. Failing to report holiday bonuses as taxable income

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