[ANSWERED] Bold Corporation paid $25 to each full-time employee at year-end in recognition of the holidays….

Bold Corporation paid $25 to each full-time employee at
year-end in recognition of the holidays. Bold Corporation is interested in
whether the amounts are taxable income to its employees, and whether the
company can deduct the amounts. A partial list of research sources is
• Secs. 74(c), 102, 132(c), and 274(6)
• Reg. Sec. 1.132 -6(e)(1)
• Hallmark Cards, Inc. v. U.S., 9 AITR 2d 391, 62-1 USTC
‘l[9162 (DC-Mo, 1961).
• Rev. Ru!. 59-58, 1959-1 CB 17.