DSI gifts to employees must be reported to payroll. These gifts are “grossed up”,
DSI pays the applicable Federal, State and SS/Med taxes due on the value of the
gift. This applies to Gold Cup, Prizes, Arigato Awards, Meal Benefit, Fitness
Reimbursement, Merch Mall, and several other gifts. The grossed-up amounts are
included in year-to-date income.