Comply with the law to protect children’s privacy online or face the fines!
Valuation of Sweepstakes and Contest Prizes
The Internal Revenue Code mandates that the value of a sweepstakes or contest prize be included in the winner's gross income. If the value of the prize is $600 or more, the payor of the prize must file with the Internal Revenue Service a Form 1099 (with a copy to the winner) reporting the value of the prize.
