sponsorship

[gman]

Taxpayer has a band. The band put on a concert and had sponsor pay for the hall,
food and advertising. Is this income to the band?

What if sponsors pay expenses directly to band?

[DaveO]

Was admission charged?

If it was who got the money?

[Roland Slugg]

Same result either way

Is this income to the band?

Nope.

What if sponsors pay expenses directly to band?

Then it would be income to the band. However, the band could then deduct the amounts paid for the hall rental, advertising, etc. resulting in the same net result.