bookmakers and the IRS

#1 01-10-2002, 04:45 PM

are bookmakers allowed to write off expenses such as, line service, telephone bills, etc.?

#2 01-10-2002, 04:56 PM

I think not if they aren't licensed in Nevada. They do best when they form offshore corporations like Paradise Poker. Then they can launder money, avoid taxation, and bribe people like Malmuth to ruin their reputations without fear of prosecution.

#3 01-10-2002, 05:23 PM

If you can buy afederal gaming stamp, which requires you to pay a 2% excise on all wagers accepted, why can't you write off your expenses?

#4 01-10-2002, 07:35 PM

I think it's an expense and not a deduction. But I'm happy to admit I don't have a clue. I'd go to irs.gov and download pub 529. Good luck.

#5 01-11-2002, 12:22 AM

write off, expense, deduction--all the same

but what's the diff we all know they don't make any money anyway!!!???

#6 01-11-2002, 12:51 AM

If it's an expense, he doesn't have to pay SE taxes on it. If it's a deduction, he does. Much better to expense it.