What does tax season have to do with employee awards?

Royal Recognition knows a thing or two about tax deductible employee awards.

In the United States, the IRS allows businesses to deduct up to $1,600 for qualified employee achievement awards in any given calendar year. But what makes an award qualified?

In sum, qualified award means an item that is given to an employee by an employer to honor an achievement.

To help you draw the line between deductible and non-deductible, we’ve created a little quiz. We hope you enjoy it!


Is it deductible?


The above quiz was created by Royal Recognition for advertising purposes and is not meant to be used as legal advice. For actual IRS guidelines, please visit irs.gov.

New Whitepaper: The Finer ‘Points’ of Employee Recognition Programs

Be informed on the differences between ‘points-based’ and ‘traditional’ Service Award Programs by downloading our latest white paper: The Finer ‘Points’ of Employee Recognition Programs

Creating Culture Through TeamworkStill have looming questions? Don’t hesitate to contact us via e-mail or phone, or leave a comment below.