Question

I bought a raffle ticket ($150) for a wine cellar worth $1000 at a charity auction. I won the raffle & gifted the prize back to the charity. Can any of this be deducted?

Forum|Forum|3 years ago
February 7, 2023
2 replies
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I understand that the cost of raffle tickets is not deductible. The "wine cellar" was $1000 to spend at an online wine site.
I received a tax form from the charity acknowledging the donation of the wine cellar worth $1000. I did not receive a tax form from them acknowledging that I had won the prize as I never took possession of the virtual wine cellar. Don't know if I would also need to claim it as income in that situation?

TurboTax Premier Online

B

Bsch4477

Employee

You can’t deduct something that didn’t cost you anything.

M

Mike9241

you do not get a 1099 for raffle winnings but a W-2G if it's required. in addition, the iRS states that for that form to be required 2 conditions must be met the winnings are over $600 and the prize is worth more than 300 times the cost of the ticket. so you have $1,000 of income reported on Schedule 1 line 8i and a$1,000 charitable contribution