Charade You Are
you can call me Frost
Silver Level
Charade You Are
you can call me Frost
Silver Level
Missed the beginning.
The biggest new information that I got was that they are trying to get the tax treatment changed since the tax code was written without taking online poker into account (multi-tabling, more sessions, etc.).
I was thinking that most players probably don't follow the IRS guidelines and probably just claim the net totals for the year. (I know I don't.)
If you play a lot of sessions, the gross income could become quite large and affect things like your medical deduction, mortgage interest deduction, etc.
If you have a losing year, you can't carryover losses either like you can with investment losses.
http://www.irs.gov/publications/p529/ar02.html#en_US_publink100027003 (bold is mine)
The biggest new information that I got was that they are trying to get the tax treatment changed since the tax code was written without taking online poker into account (multi-tabling, more sessions, etc.).
If you are not a professional poker player your gross winnings count as income, while losses count as deductions, maybe. The IRS expects you to track each session separately. You are suppose to add up all your winning sessions, and then your losing sessions. Losses you can deduct can't exceed your winnings.
If you win $1,000. Then you play again and lose $1,500. The win is gross income. If you want to itemize your deductions, you can claim $1,000 (not $1,500) on Schedule A. If you don't itemize, you can't deduct your losses at all.
If you win $1,000. Then you play again and lose $1,500. The win is gross income. If you want to itemize your deductions, you can claim $1,000 (not $1,500) on Schedule A. If you don't itemize, you can't deduct your losses at all.
I was thinking that most players probably don't follow the IRS guidelines and probably just claim the net totals for the year. (I know I don't.)
If you play a lot of sessions, the gross income could become quite large and affect things like your medical deduction, mortgage interest deduction, etc.
If you have a losing year, you can't carryover losses either like you can with investment losses.
http://www.irs.gov/publications/p529/ar02.html#en_US_publink100027003 (bold is mine)
