When I drive my girlfriend's car through a red light and the "Photo Enforcement" robot camera takes a picture of her car in the intersection and then some other robot sends her a ticket [the *owner* of the vehicle is presumed guilty, somehow, and is therefore liable for the fine] but I end up paying the ticket (because, inter alia, I'm a nice guy and I like her and I like driving her car) is the payment of the ticket taxable income to her?
Red light cameras take a picture of the driver and the license plate. If the owner was not driving, the owner merely pleads not guilty and upon having a hearing can show that she was not the one driving. In this instance, you create a scenario in which the owner has pleaded guilty even though innocent, and paid the fine. Therefore, if you reimburse the guilty party you have made a gift that is not taxable to her.
In this case there wasn't a picture of the driver. The camera is behind the offending car and can't see the driver. Also, there wasn't an actual reimbursement. I wrote my check to the authorities for "the guilty party's" obligation. Does this affect the "gift" answer?
Another way to look at it is that it was your debt, not hers. So it's not taxable to her.
Remember that the ticket goes on her record and can raise her insurance rates. What really should happen is that she should plead innocent, tell them you were driving, you should admit it and the ticket would be given to you.
Stu
No. It doesn't matter whether you gave the funds to her or to the party she owed.
Why does this entire thread remind me of the advice of Father William?
You can call it anything you want because it doesn't matter. Fines, like bribes, are not deductible.
Dick
Where does it say this in the code? And fines from who? Does it have to be a political subdivision of some sate, or... ?
Steve
IRC Section 162(f).
wrote
It's not income to her and neither you or her can deduct the ticket.
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