Taxable income????

Nighttrain · by **Nighttrain** » Sun Apr 11, 2004 11:56 pm GMT

What is the exact laws on poker winnings online???I mean if im taking 200$ out of my poker account a week is uncle sam gonna know im doing so???Any tips advice or other insite is greatly appreciated..... :wink:

reidy125 · by **reidy125** » Mon Apr 12, 2004 4:38 am GMT

HI, i'm studying accounting at uni, although this may not mean anything, I believe winnigs should not be taxed, for this reason:

We are taxed on what we earn, but surely if someone is playing a money hand, the money put down on the table has already been earnt by someone, so if you win the hand, you should not be taxed, as the person who lost his money had already been taxed.

It wouldn't suprise me if the government did bring in some kind of gambling law whereby winnings were taxed, to pay for more bombs, etc.

I wouldn't worry about it, I'm sure we'll hear about something if it comes up, just keep withdrawing your winnings!

Dave B · by **Dave B** » Mon Apr 12, 2004 9:42 am GMT

Gambling winnings are 100% taxable. However-you can deduct your losses to the extent of your winnings. The online poker room would need to issue a 1099 for the govt to find out about it. If you are worried, keep all losing lotto tickets, pull tabs (go to a bar and collect bad ones for free), withdraw cash at casino and claim as a loss.

nicthestick · by **nicthestick** » Mon Apr 12, 2004 9:57 pm GMT

Dave, you are a shaman. Full of information that is usefull and good!!!!!

Nighttrain · by **Nighttrain** » Mon Apr 12, 2004 10:14 pm GMT

thanks for the input guys.So basicly it would take more than a few C notes to get uncle sams attention.......

General Sal · by **General Sal** » Mon Apr 12, 2004 11:56 pm GMT

Cardplayer.com has article by this couple regarding all sorts of tax stuff. Cardplayer.com has back issues online, so you should definitely check it out. They also have a website regarding the entire matter.

BeerWench13 · by **BeerWench13** » Tue Apr 13, 2004 2:47 pm GMT

We are taxed on what we earn, but surely if someone is playing a money hand, the money put down on the table has already been earnt by someone, so if you win the hand, you should not be taxed, as the person who lost his money had already been taxed.

Ummm, firstly you pay taxes on what you earn. In most states, you pay sales tax on what you buy with the money that you've earned (which has already been taxed). Also in some states (like the one in which I reside), if you use those earnings (that have already been taxed) to buy a house, car, boat or other large purchase, you not only have to pay sales tax with those dollars (that have already been taxed), but then you have to pay personal property taxes every year. Add it up and you've been taxed 3-4 times for every dollar you earn. Trust me, Uncle Sam WILL get his cut.

Absolution · by **Absolution** » Tue Apr 13, 2004 6:54 pm GMT

I find this all quite funny. In North America gambling online is illegal so I don't see why you should worry about taxes unless you are making a lot of money. If you flaunt around a lot of money you might get audited, but a few hundred a week probably won't get noticed. If they ever investigated you they could probably figure out where you got it and then I don't know what would happen. Some wire act prosecution at the worst. If you made a lot of money playing then you could maybe claim it as B&M casino winnings to be safe. In Canada it isn't an issue since winnings aren't taxable (yah!).

Jonniedough · by **Jonniedough** » Tue Apr 13, 2004 7:48 pm GMT

Just move to Canada eh? :wink:

Fat Tony · by **Fat Tony** » Tue Apr 13, 2004 7:55 pm GMT

and, the beer is better here too!!! :D

Taxable income????

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