Poker Tax Law in US?

Rapport

Rapport

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Hi everyone,

Someone told me at the tables the other day that in May of 2008, US casinos will be required to keep 25% of your winnings (over $5000) and send directly to the government.

I've searched around the forums, but haven't seen anything.

Does anyone know the details of this?

Thanks in advance,

Buck
 
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phatjose

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I don't know about keeping your winnings, but I do know that casinos are supposed to issue you a W2-G form and report your winnings to the IRS if you win over $1200 at once.
 
KingNothing4

KingNothing4

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wow that would be really lame!!! government just going to keep taking people's money anyway they can
 
Rapport

Rapport

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Yeah, I've gotten that form. But that still leaves it up to you, to report everything.

This one seemed a lot more invasive. I would have normally ignored the guy, but he seemed to have a good idea of what he was talking about.

I'm gonna look further, keep you guys updated.
 
Rapport

Rapport

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Searching online I just found this:

W-2Gs: Debunking the Big Lie.* W-2Gs not required in poker tourneys

... This will undoubtedly result in operators of poker tournaments issuing Forms W-2G to and withholding income taxes from players who are paid proceeds (net of the buy-in to the tournament) of $5,000 or more at a 25% rate.
It looks like you're totally right, aliengenius.

But it seems like it came pretty close!

Thanks...
 
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phatjose

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Time to start itemizing tournament buy ins to use as a tax write off!
 
Jack Daniels

Jack Daniels

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Time to start itemizing tournament buy ins to use as a tax write off!
Yep, should be documenting all casino losses regardless of amount. Just remember that losses can only be used to reduce tax liability on winnings, nothing more.
 
p0kertime

p0kertime

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i'm glad i'ts a false rumor well my cable has been out for a while..
 
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