Originally Posted by
Excargodog
Which means you are paying imputed income on all of those things. The IRS gets their money, just the same, no matter what you barter the SWAG points for.
That’s the federal law. SWA just structures it different than others. The tax still gets paid and ultimately YOU pay it at your marginal rate.
One more time. There is no tax or imputed income for airline standby passes under the US tax code for immediate family members. This includes parents. There is a exemption.