this post was submitted on 04 Jan 2024
293 points (95.4% liked)
Technology
59223 readers
3375 users here now
This is a most excellent place for technology news and articles.
Our Rules
- Follow the lemmy.world rules.
- Only tech related content.
- Be excellent to each another!
- Mod approved content bots can post up to 10 articles per day.
- Threads asking for personal tech support may be deleted.
- Politics threads may be removed.
- No memes allowed as posts, OK to post as comments.
- Only approved bots from the list below, to ask if your bot can be added please contact us.
- Check for duplicates before posting, duplicates may be removed
Approved Bots
founded 1 year ago
MODERATORS
you are viewing a single comment's thread
view the rest of the comments
view the rest of the comments
I'm no law expert, but I have dealt with POS and retailers, and their tax people. My understanding is that you always report the loading of a gift card as a liability. It may be categorized as a different liability because you don't necessarily owe that money back. As in, most gift cards are non refundable.
When the holder of the gift card redeems it for products, the balanced used gets deducted from your liability and is added to revenue.
If Starbucks were straight reporting it as revenue with no explanation, I can see that being scrutinized. But if they are reporting it as potential revenue, then that's up to shareholders to weed through that and make investments based on that.
I'm not understanding the illegality here.
Yea, sounds like a dumb lawsuit and clickbait lazy reporting.