Tax Question- Gambling winnings

[WildKat]

I won $1100 at the Breeders Cup on one race. I had to fill out tax papers.....back in the day, I heard someone day that they turned in a bunch of "losing" tickets to help offset the winnings....Does this sound right? And do I need to go to the off track betting place to get some losing tickets before Sunday?

[MCP313]

Nah. Just say you lost $1100. Its believable and they won't audit.

I've won 1K on scratch offs twice in my life and both times I've written off my winnings with losses w/o being asked for proof.

I think it would raise a red flag if someone won say 100k or more and tried to write off losses...at which point I would have to believe they would ask for proof of loss.

[tw burke]

Originally Posted by MtrCtyPimp

Nah. Just say you lost $1100. Its believable and they won't audit.

I've won 1K on scratch offs twice in my life and both times I've written off my winnings with losses w/o being asked for proof.

I think it would raise a red flag if someone won say 100k or more and tried to write off losses...at which point I would have to believe they would ask for proof of loss.

thats is correct

[WildKat]

kewl- thx

[aztriman]

You can always claim off setting loses but if u have no proof and you get audited you'll lose the deduction and have penalties and interest to boot.

[Chris46139]

It doesn't hurt to have backups just in case, my father in law has won 5 figures on the horses a few separate times, he saves the losers throughout the year just in case, hasn't been audited for that even

[LadyDawn]

yeah 1 k is nothing ! BUT you can write off all losing tickets from the whole year no matter how much you win ! YOU might even get a refund if losses are more than winnings ! Really it's legal ! Call any IRS agent and ask them !

Say if i won $10,000 at races one day but if i had negative $5000 for the whole year even after that win would i get a refund ?

[sportsreport]

No more throwing all those losing scratch off tickets in the trash for me

[chibob]

Originally Posted by LadyDawn

yeah 1 k is nothing ! BUT you can write off all losing tickets from the whole year no matter how much you win ! YOU might even get a refund if losses are more than winnings ! Really it's legal ! Call any IRS agent and ask them !

Say if i won $10,000 at races one day but if i had negative $5000 for the whole year even after that win would i get a refund ?

all due respect

I find this hard to believe.

So, a guy walks into a casino, takes out a marker for $50,000, blows it all, and Uncle Sam says, "No Problem, write it off"

LMAO

[buli]

Originally Posted by LadyDawn

yeah 1 k is nothing ! BUT you can write off all losing tickets from the whole year no matter how much you win ! YOU might even get a refund if losses are more than winnings ! Really it's legal ! Call any IRS agent and ask them !

Say if i won $10,000 at races one day but if i had negative $5000 for the whole year even after that win would i get a refund ?

huh?

[Mendoza Line]

Originally Posted by chibob

all due respect

I find this hard to believe.

So, a guy walks into a casino, takes out a marker for $50,000, blows it all, and Uncle Sam says, "No Problem, write it off"

LMAO

You are correct, Chibob. Can't do it.

You can write off you losses to the point that you offset your winnings, unless you claim your profession and main source of income as "gambler," and like a small business, you better show a profit more years than not, or you will probably get audited. For most people it isn't worth doing. You have to use a W-2G, and you have to itemize to do that. So, that means you can't file a simple return, and it will cost more if you have your taxes done professionally.

Casinos differ, but most won't give you a tax form until you hit a jackpot or payout of minimum $1199. Most are higher for cashing chips. Any regular gambler probably knows what the limits are where they are playing and will cash chips out a little at a time or give some to friends to cash. But the pit alerts the cage if you leave the table with a large amount or any of the chips that they track, usually purple and up. Some use RFID chips, and they know if you're holding out on them at the cage.

[Ron Mexico]

Pretty sure you can write off 60+ yr old bartenders. Keep the pics and reciepts

[justdonating]

Most casinos will give you win/loss statement. Some even provide online access to it. Done properly a guy can easily show losses at a table game.

[WildKat]

Originally Posted by Ron Mexico

Pretty sure you can write off 60+ yr old bartenders. Keep the pics and reciepts

Anybody have Mermaids number? Im sure she's dead by now.

[cook county capper]

Originally Posted by Mendoza Line

You are correct, Chibob. Can't do it.

You can write off you losses to the point that you offset your winnings, unless you claim your profession and main source of income as "gambler," and like a small business, you better show a profit more years than not, or you will probably get audited. For most people it isn't worth doing. You have to use a W-2G, and you have to itemize to do that. So, that means you can't file a simple return, and it will cost more if you have your taxes done professionally.

Casinos differ, but most won't give you a tax form until you hit a jackpot or payout of minimum $1199. Most are higher for cashing chips. Any regular gambler probably knows what the limits are where they are playing and will cash chips out a little at a time or give some to friends to cash. But the pit alerts the cage if you leave the table with a large amount or any of the chips that they track, usually purple and up. Some use RFID chips, and they know if you're holding out on them at the cage.

This is a great response.

Only thing is they cannot tax you on table games unless the payout is 500-600 to 1. I believe this is right. You would have to win one of those Carribean Stud jackpots or something.

I've cashed low, low 5 figures in chips many times. No problemo.
The amount won shouldn't matter, just the odds.