Xbox user wins lifetime gaming pass, but surprisingly, he refuses the prize

You may not believe it, but an Xbox user gets Game Pass forever, and their reaction wasn’t to celebrate or announce it to their friends from the Four Winds. It may seem strange, He ended up declining the award In a way that completely surprised many, while others agreed with him.

The competition took place in Microsoft rewardswhere the winner of the aforementioned competition can get a lifetime subscription to Xbox Game Pass, although this age is relative, as the prize lasts for about 40 years valid.

The award was handed out at the beginning of the week, and it turned out that one of its winners wanted to pass on his decision and the news to the community. Microsoft Rewards Redditexplaining that he was lucky enough that 99% of people never had a person in his life, and that he also rejected him.

You won Game Pass Ultimate for Life and declined the prize (AKA: Taxes a Bitch)
by U / Eve in Microsoft rewards

Yes, you read that correctly, the user in question commented This signature declined for tax reasonsWhat, you might be wondering, are the tax reasons someone might decline a gift like this? Well, the same user wanted to shed some light on this:

“I read that if I claimed the prize, $7,300 in taxable income would be added to my 2023 taxes. Under US tax law, my 2023 federal tax bill would likely increase by $1,752 (24% of the award). Also, I would have added income tax. state, but let’s not bother calculating it.

The “lifetime” portion of the award is limited to a maximum of 40 years, hence the monetary value of $7,300 they must declare to the treasury. The prize is non-transferable and I cannot claim cash in exchange for it. That means the “bonus” doesn’t really work for me until about 10 years later, which is the number of years of Game Pass I could buy now if I spent about $1,752. “

This is why an Xbox user gets Game Pass forever and ends up declining it. As you can see, the fine print of these terms can create a tax liability for the winner of this bonus in Microsoft Rewards, so this again shows us that we should always read the terms of this bonus if we receive it. And don’t let ourselves get swept up in the flow of the moment.

Our lion in Brazil is obviously very hungry, but we won’t be taxed for that.