Tax problem

[Carl_William]

A friend sent me this question: "I won a 50-50 raffle at the sprint car races last year. My prize was something like $1,500. The benefit of the raffle was the Drivers Benevolent Fund and I gave the $1500 right back to the Fund (never had it in my hands). So far, I haven't got a 1099 from the track and doubt they have my address in any case. But, I wonder, in the back of my mind (not obsessing) what the exact IRS position on this would be. Since they want money, I suppose they could say I should report that $1,5K as income and then report the $1.5K donation as a donation That way my donation ends up costing me what ever my marginal tax rate x $1.5K is besides the total of the donation. Somehow that doesn't seem right."

Anybody care to give a comment on this situation. Personally I don't think there is any money due to the IRS....

[MadTiger]

Hmmmmmm.

If you haven't received a 1099 by now, you aren't receiving one.

If you considered it a wash, and were unfortunate to be audited, an auditor would have a hard time explaining harassing you. My instinct (15 years experience) tells me you needn't worry.