Corp I has a bonus program for its employees. Corp I is a calendar year, accrual method taxpayer. Any employee who is employed on December 31, 2016 is eligible for the 2016 bonus, which was paid on February 21, 2017 (the total amount was $500 million). The amount of the bonus is determined based on a formula that takes into account the corporations profit for 2016, and the employees performance in 2016. However, the CEO of the company decides in early January (2017, in this case) whether to increase or reduce the bonus; in most years he or she does not change the amount. Discuss the tax status of this bonus.