We currently have a referral program for our customers to receive a $25 merchant gift card when they refer a new customer to us. The face value of the card is $25. We (the bank) are being charged a $3 fee for each card that is issued. Question is does the bank issue a 1099 to the customer for the $25 or for $28? Our invoice isn't broken out down to show the fees and the cards seperately, it just shows them as one total.
My opinion is mine only- not my employer's!