[fanfare]

I am currently a law student, and I am wondering if the Rewards Merchandise from LexisNexis and Westlaw is subject to income tax. Students can accumulate points by doing research, attending trainings, and answering quizzes (you can keep trying on the quiz until you get the answer right and still get the full point value). Then you can trade for CDs, books, iTunes giftcards, etc. I am just a first-year law student and have not taken a tax law class, and I'm having a hard time telling whether such merchandise would count as income tax. On the one hand, it is my understanding that credit card rewards and frequent flyer miles are not taxable. On the other hand, I know that prizes from sweepstakes are. The rewards programs seem to me to be more like the former in that there is no competition and the awards are given for utilizing the services, so it seems like a loyalty program to me. However, the terms of agreement, at least of LexisNexis, make me suspicious that it might be subject to income tax, particularly since I would have to submit an Affidavit of Eligibility and Release from Liability if I accumulate $600 worth of points--the threshold for a 1099 form. So what do you think? Since I am a law student, I want to do this legally.

[fanfare]

Disclaimer: Nothing I post is or should be construed to be legal advice.

[JoeShmoeJoe]

"Since I am a law student, I want to do this legally."

You suck.

[JoeShmoeJoe]

If you weren't in law school, you'd want to do this illegally? Your logic sucks, hence you suck.