Taxes on Online gaming

Hello, I see everyone here making alot of money playing STT, and I was wondering if you guys pay taxes on your gaming profits, I have made quite a chunkload of money playing online as well and I am wondering if you must do Taxes and if you do

[ChoicestHops]

Pay taxes and keep records or get anally raped.

[raptor517]

just go to vegas and lose it all there. thats the best way to deal with not paying taxes. holla

What exactly do you mean by annaly raped, and isnt online poker illegal? How are we supposed to pay Taxes?

[viennagreen]

even if online poker was officially illegal, with players being actively harrassed by the government-- it isn't illegal to report the income. it is illegal to NOT report it though.

the IRS is prohibited from notifying the Justice Department about any illegal income.

So...everyone on this forum here pays taxes on their winnings, and if so..what percentage

[viennagreen]

not everyone here pays taxes.... not everyone is supposed to....

i made an assumption that you are a US citizen--- US citizens have to pay taxes on gambling winnings... many other countries have more reasonable policies.

you do understand how US taxes work, right? just wondering because of your question "what percentage?".

well im currently 17, and i Play on my moms account for partypoker and I've made quite a bit of change, I was wondering do i pay taxes or if i dont wil ig et introuble

Do you have to pay Taxes on the money if you just let it sit in your account, or only when you withdraw it?

[MegaBet]

YOU HAVE TO TELL US WHERE YOU ARE!!!

As a UK citizen I do NOT have to pay ANY tax (or any health insurance) so being a pro poker player over here is very VERY lucrative /images/graemlins/grin.gif

[ChoicestHops]

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As a UK citizen I do NOT have to pay ANY tax (or any health insurance) so being a pro poker player over here is very VERY lucrative

[/ QUOTE ]

I'll give you that but the UK is still f'n expensive.

[MegaBet]

[ QUOTE ]
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As a UK citizen I do NOT have to pay ANY tax (or any health insurance) so being a pro poker player over here is very VERY lucrative

[/ QUOTE ]

I'll give you that but the UK is still f'n expensive.

[/ QUOTE ]

Maybe I should add I live mostly in the US, but my poker winnings are connected to my UK bank. /images/graemlins/grin.gif

[ QUOTE ]
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As a UK citizen I do NOT have to pay ANY tax (or any health insurance) so being a pro poker player over here is very VERY lucrative

[/ QUOTE ]

I'll give you that but the UK is still f'n expensive.

[/ QUOTE ]

Maybe I should add I live mostly in the US, but my poker winnings are connected to my UK bank. /images/graemlins/grin.gif

[/ QUOTE ]


I think this could be considered tax evasion....

[Degen]

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just go to vegas and lose it all there. thats the best way to deal with not paying taxes. holla

[/ QUOTE ]

i'm not sure if the great philosopher Raptazzle meant it or not...but that is a great clue about how to avoid claiming some of that income...

[MegaBet]

Trust me, I checked first. All above board.

[unreal_nh]

this is my first year of online poker.. but as far as i know u either have to report your winnings as other income on form 1040, or enter it on schedule C if it is your main source of income. i'm not 100% completely sure though. i think u have to report 100% of your winnings and deduct your losses as an itemized deduction (on 1040) or report your losses and winnings on schedule C.

[raptor517]

[ QUOTE ]
this is my first year of online poker.. but as far as i know u either have to report your winnings as other income on form 1040, or enter it on schedule C if it is your main source of income. i'm not 100% completely sure though. i think u have to report 100% of your winnings and deduct your losses as an itemized deduction (on 1040) or report your losses and winnings on schedule C.

[/ QUOTE ]

if you dont deduct your losses correctly, it can really screw you. the problem with reporting sng earnings, is that you have to report EVERY single place you get, and that total amound. THEN you have to deduct the losses. otherwise.. you end up paying tax on only the wins.. which the tax itself will probably be more than you made.. holla

[Degen]

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[ QUOTE ]
this is my first year of online poker.. but as far as i know u either have to report your winnings as other income on form 1040, or enter it on schedule C if it is your main source of income. i'm not 100% completely sure though. i think u have to report 100% of your winnings and deduct your losses as an itemized deduction (on 1040) or report your losses and winnings on schedule C.

[/ QUOTE ]

if you dont deduct your losses correctly, it can really screw you. the problem with reporting sng earnings, is that you have to report EVERY single place you get, and that total amound. THEN you have to deduct the losses...

[/ QUOTE ]


then you have to deduct your vegas losses (HINT!), and all the money you lost at B&M poker (HINT, HINT!!!) and home games (HINT, HINT, HINT, HINT!!!!!)

[tshort]

The answer to this question is incredibly easy to find:

Go to www.google.com (http://www.google.com) .

Type in a web search "taxes gambling [your state]".

There is an extra form for reporting gambling winnings that you will find through google search. I would recommend using Quicken or something to use your taxes.

Travis

[unreal_nh]

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[ QUOTE ]
this is my first year of online poker.. but as far as i know u either have to report your winnings as other income on form 1040, or enter it on schedule C if it is your main source of income. i'm not 100% completely sure though. i think u have to report 100% of your winnings and deduct your losses as an itemized deduction (on 1040) or report your losses and winnings on schedule C.

[/ QUOTE ]

if you dont deduct your losses correctly, it can really screw you. the problem with reporting sng earnings, is that you have to report EVERY single place you get, and that total amound. THEN you have to deduct the losses. otherwise.. you end up paying tax on only the wins.. which the tax itself will probably be more than you made.. holla

[/ QUOTE ]

so is it better to just use the form 1040 and deduct your losses as an itemized deduction and lose your standard deduction... or deduct it on schedule C? or is there another better way?

[raptor517]

[ QUOTE ]
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[ QUOTE ]
this is my first year of online poker.. but as far as i know u either have to report your winnings as other income on form 1040, or enter it on schedule C if it is your main source of income. i'm not 100% completely sure though. i think u have to report 100% of your winnings and deduct your losses as an itemized deduction (on 1040) or report your losses and winnings on schedule C.

[/ QUOTE ]

if you dont deduct your losses correctly, it can really screw you. the problem with reporting sng earnings, is that you have to report EVERY single place you get, and that total amound. THEN you have to deduct the losses. otherwise.. you end up paying tax on only the wins.. which the tax itself will probably be more than you made.. holla

[/ QUOTE ]

so is it better to just use the form 1040 and deduct your losses as an itemized deduction and lose your standard deduction... or deduct it on schedule C? or is there another better way?

[/ QUOTE ]

basically, all the methods for reporting gambling earnings are crap. they all suck, and they make it as difficult as possible on you. thats why i like just going ot vegas and depositing it there. its safe. holla

[unreal_nh]

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[ QUOTE ]
this is my first year of online poker.. but as far as i know u either have to report your winnings as other income on form 1040, or enter it on schedule C if it is your main source of income. i'm not 100% completely sure though. i think u have to report 100% of your winnings and deduct your losses as an itemized deduction (on 1040) or report your losses and winnings on schedule C.

[/ QUOTE ]

if you dont deduct your losses correctly, it can really screw you. the problem with reporting sng earnings, is that you have to report EVERY single place you get, and that total amound. THEN you have to deduct the losses. otherwise.. you end up paying tax on only the wins.. which the tax itself will probably be more than you made.. holla

[/ QUOTE ]

so is it better to just use the form 1040 and deduct your losses as an itemized deduction and lose your standard deduction... or deduct it on schedule C? or is there another better way?

[/ QUOTE ]

basically, all the methods for reporting gambling earnings are crap. they all suck, and they make it as difficult as possible on you. thats why i like just going ot vegas and depositing it there. its safe. holla

[/ QUOTE ]

its safe lol

[fluorescenthippo]

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Pay taxes and get anally raped.

[/ QUOTE ]


FYP

Do you have to report your earnings from rakeback?

[raptor517]

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Do you have to report your earnings from rakeback?

[/ QUOTE ]

its all considered income, so yes. but then again.. you dont have to report EVERYTHING you make.. holla