Re: Requirements to file as a professional
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What are the requirements to file as a professional?
If income exceeds regular job income should I file as a professional? What are the disadvantages of filing as a professional?Advantages?
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The advantages are that you get to net your winnings, intead of declaring all your winnings from every winning session and then treating your losing sessions as deductions. That can be a pretty big deal for reasons that have been gone into ad nauseum on this site.
Also you can now deduct gambling expenses, such as your flight to vegas, hotel room, 2+2 books (don't try to deduct Helmuth's book of course, the irs will disallow it as a legitimate poker instructional book).
Disadvantages? You have to pay quarterly estimated tax's and self employment taxes. You want to keep very good records (of course you need to do that any way).
--Zetack
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