IRS Rules On Gift Giving

Gifts can be a great way to say “thank you” to the clients who’ve helped you have a successful year. Some companies choose to send cards, which only cost pennies, but others want to go above and beyond. Sending a gift can make a deeper impression.

Reasons to Give Clients Gifts

Your clients support your business and keep your business afloat. It’s only natural to want to show them appreciation. Giving them tokens of your gratitude for their business can build goodwill and develop a closer relationship. Strong business relationships are so important that a Harvard Business School study found that 85% of professional success comes from people skills.

Giving gifts ensures that you remain in the person’s mind, as it’s hard to forget someone who gave you something nice. While it may not bring it business immediately, if a future business need arises that you can fill, they’re more likely to reach out. If it’s been a while since they brought your company business, it’s a subtle reminder of the work you’ve done for them in the past.

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