The IRS doesn’t care if you’re paid in money or not. Taxes are levied on things of value, i.e. wealth. That’s why non-monetary compensation like free lunch or other perks are still taxed using an equivalence value. It’s also why compensation in the form of stock options are still taxed as income. If only “money” proper were taxable, everyone would be paid in gift cards or precious metals.
The IRS doesn’t care if you’re paid in money or not. Taxes are levied on things of value, i.e. wealth. That’s why non-monetary compensation like free lunch or other perks are still taxed using an equivalence value. It’s also why compensation in the form of stock options are still taxed as income. If only “money” proper were taxable, everyone would be paid in gift cards or precious metals.