What are the rules for gambling tax?

[Metalloid]

Obviously if you win a lot of money, the casino has to report your winnings to the IRS, and you have to pay taxes on it. But if you sit down to play blackjack, and win $10, never to come back again, do they expect you to claim that $10 on your tax forms in April?

 

[Colt45]

probably

minus the cash you put into it. so like $8

 

[MrAwesome]

Gambling is the scourge of the DEVIL. You are playing Russian Roulette with your soul. Repent NOW!!!!!

 

[FoBoT]

you have to report (winnings - losses) if positive as income
if (winnings - losses) is negative, then you don't have to do anything

 

[Zeeky Boogy Doog]

i probably wouldn't bother, too much work, and how are they going to know anyway? if its a small amount that is

 

[Kyteland]

Also, if you have a single win more than $1200 then the casino has to fill out forms for the IRS on the spot. Other than that it is up to you to report any "income" you made through gambling.

 

[FoBoT]

Originally posted by: Zeeky Boogy Doog
i probably wouldn't bother, too much work, and how are they going to know anyway? if its a small amount that is

that is tax fraud

 

[phreakah]

i've never reported any gambling winnings

 

[Blastomyces]

Isnt there a spot for gambling losses? If you lose money can you count it against your taxes?

 

[Metalloid]

Originally posted by: Blastomyces
Isnt there a spot for gambling losses? If you lose money can you count it against your taxes?

You can't declare more losses than you do wins. That much I know for sure.

 

[alent1234]

Originally posted by: Metalloid
Obviously if you win a lot of money, the casino has to report your winnings to the IRS, and you have to pay taxes on it. But if you sit down to play blackjack, and win $10, never to come back again, do they expect you to claim that $10 on your tax forms in April?

legally you have to report all gambling winnings and you can take losses up to your winnings. In reality if there is no W2-G form filed the IRS will never know. I've heard that some people who win gambling pick up losing lottery tickets on the street as proof of losses.