Taxes

[clwn2]

Hope this is the right forum Webman...
 
I have read that you are supposed to claim all net winnings not just the jackpots over $1200.  Are players(generally speaking) really claiming everything and not just the jackpots with the tax paperwork?  I know that if you are playing high denom. machines that you have a casino employee tallying up all the taxable wins.  I am referring to Joe low denom. player who happens to hit more than the average royals and ends up a few grand ahead for the year. 
 
Regardless of input, Uncle Sam ain't gonna get a penny extra from me.  I don't think he is going to have to worry much because my playing in Kalyforneea has not been a money making propostion yet..
 
Hope to get some good posts regarding this question....  

[aceswithakicker]

I think the only way the casinos can track your play, be it a win or a loss, is via the players card.  Around here we can get a win/loss statement from the casino and should show the net gain or loss.  But I too have heard that in order to take a loss you have to be able to prove and validate your losses i.e. ATM reciepts etc.  which would be hard to do.  They like to make it as difficult as possible I think.  I've never messed with it and have just paid the taxes on the $1200+ wins.  Haven't had a problem thus far.
 
Seems like I heard from someone that the IRS has recently changed something in the tax code referring to casinos.  Anybody else have a better explanation??

[MikeA]

You might want to read the following topic.  It had a long ongoing discussion on taxes:http://www.videopoker.com/forum/forum_p ... D=772&PD=1

[shadowman]

Let's see if I can summarize a few points.
 
1) If you make money gambling for the year it IS taxable. The number of people who actually report non-W2G winnings is probably less than 5%.
 
2) If you do get W2Gs but did not win money for the year, then losses can be listed as an itemized deduction, but only up to the amount of the W2G wins. If you don't itemize then you are SOL.
 
3) If you decide to itemize losses and you get audited you will be required to show proof of the losses. The IRS may require you to provide a contemporaneous record of your casino sessions. Although, the IRS has accepted casino win/loss statements in many cases, they don't have to. Personally, I keep a record of all my casino visits, I deduct lots of losses every year (W2G total is always more than I actually win) and I have never been audited. 
 
4) Ignoring W2G winnings is a very bad idea. The IRS gets a copy of them and the computers match them to your tax return. You will end up paying the tax with interest and penalties.
 
 

[EDC1977]

 Jean"queen of comps" Scott has written a number of articles regarding this very issue. She states that you cannot claim losses exceeding any w-2g wins as shadow stated. CLWN, do you read the Gaming Guide here in Calif.? Jean Scott retired but Dancer and Bill Burton still write some interesting articles. Many regarding this subject! Helpful to further pursue this if you are ever considering claiming losses!

[clwn2]

 Jean"queen of comps" Scott has written a number of articles regarding this very issue. She states that you cannot claim losses exceeding any w-2g wins as shadow stated. CLWN, do you read the Gaming Guide here in Calif.? Jean Scott retired but Dancer and Bill Burton still write some interesting articles. Many regarding this subject! Helpful to further pursue this if you are ever considering claiming losses!
 
Gaming guide?

[EDC1977]

  It's called the Southern California Gaming Guide. It's a big ol' newspaper type of magazine with articles in regards to all Socal. casinos excluding the card clubs although sometimes they do write articles on tournaments they have at the card clubs. Comes out 1st of the month at Albertsons, Ralphs, 7-11,CVS in the freebie rack by the Pennysaver. I'm shocked you haven't taken advantage of this free publication?

[jm002546]

Hope this is the right forum Webman...
 
I have read that you are supposed to claim all net winnings not just the jackpots over $1200.  Are players(generally speaking) really claiming everything and not just the jackpots with the tax paperwork?  I know that if you are playing high denom. machines that you have a casino employee tallying up all the taxable wins.  I am referring to Joe low denom. player who happens to hit more than the average royals and ends up a few grand ahead for the year. 
 
Regardless of input, Uncle Sam ain't gonna get a penny extra from me.  I don't think he is going to have to worry much because my playing in Kalyforneea has not been a money making propostion yet..
 
Hope to get some good posts regarding this question....    You should never pay taxes on the W2 winnings.  Just add up the W2 totals for the year, go draw out an equal amount of cash  from your bankon 12/31, go to Vegas and "document" that you lost every penny on blackjack. By document it is intended that you made a note that you lost it.

[ginxxxx]

[QUOTE=clwn2]Hope this is the right forum Webman...
 ..
 
Hope to get some good posts regarding this question....    You should never pay taxes on the W2 winnings.  Just add up the W2 totals for the year, go draw out an equal amount of cash  from your bankon 12/31, go to Vegas and "document" that you lost every penny on blackjack. By document it is intended that you made a note that you lost it.[/QUOTE]GOOD answer!

[clwn2]

Thanks for all the good posts.  Don't get me wrong, I am an honest person who believes in filing an honest tax return and paying my taxes every year. It just galls me that Sams got his hands out for the small wins too.  I have never hit a jackpot for over $1199 and never had a W2G.  This is pretty much due to the fact that I am a quarter player and have had no luck with the higher progressives. 
 
I know that you are supposed to submit your total winnings(minus losses) each year in order to pay taxes on them.  I just cannot belive that most players are actually doing so with jackpots that fall under the radar.
 
Liked the last posts by the way...