Sam works as a professor at Solid University. He is a significant proponent of Internet education and research. The university outsources some of its technological work to Tech. Inc. You are in the process of completing Sam's tax return for the previous year. Sam and you have been good friends for years. Sam was sharing his enthusiasm about his job with you and happened to mention that Tech. Inc. recently gave him a new laptop computer valued at $3,500 to "show its appreciation" for his commitment to technological advancement in education.
Sam assumes that the gift was also made because he had recently (and at some personal sacrifice) attended a Technology in Education seminar. Sam presented his work along with representatives from Tech. Inc., who proudly held Sam's work out as a product of their collaboration. Although Sam does not particularly care for Tech. Inc. and does not feel obligated to it in any way (since it is not his employer), Sam gladly accepted the accolades and the computer. Sam received no appropriate IRS Form 1099 or other income tax reporting forms from Tech. Inc. What are your responsibilities in completing Sam's tax return?