Is Barter Taxable? - misc.taxes

Message from discussion Is Barter Taxable?

nat

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More options May 16, 10:46 am

Newsgroups: misc.taxes

From: nat <esen...@tx.rr.com>

Date: Fri, 16 May 2008 09:46:50 -0500

Local: Fri, May 16 2008 10:46 am

Subject: Re: Is Barter Taxable?

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Phil Marti wrote:
> "parl...@nospam.nospam" wrote:

> If a friend of mine who is a professional carpenter does some work for
> me around my house, do I have to pay taxes on this if I bought him
> pizza "in exchange” for his services?

> You don't seem to understand what barter, which is taxable income, is.
> Barter would be your friend doing your carpentry in exchange for you, as a
> professional lawn care provider, doing his lawn for a season. It's taxable
> income to you both.

> What you describe is not barter, it's a friend doing a friend a favor. It's
> taxable income to neither of you.

What? If the exchange results in income to at least one of the parties,
why can't a favor be income. The pizza is income to the carpenter.

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