[Maddenboy]

as far as audits, a friend of mine (a fellow attorney) thinks, but doesnt know, that the IRS can do the following:

First, Neteller will appear somewhere on your bank statements, which you will provide to the IRS as part of the audit (or which they can get easily).

Second, they notice Neteller on there. Since the aren't stupid, they know there's a 98% chance its related to online wagering.

Third, they cant get the info from Neteller. SO THEY GET IT FROM YOU. They ask you for it. You decline.

They demand that you produce the Neteller records. you decline.

They impute (read: guesstimate ridiculously high) income to you, tax you on it, begin charging interest and penalties, until you pay or produce the records to prove you really made less online, (but, if you pay this ridiculously high tax, they will know they guessed LOW and really get after you in succeeding years), or:

Finally, they sue you, and as part of court-supervised discovery, get the JUDGE to order you to produce the Neteller records, and get you fined/punished for contempt if you fail/refuse to produce the records. All the while you are still on the meter for the imputed taxes and penalties.

I havent researched it. But it seems to me that the best way to fund your Neteller is to avoid your bank entirely. Send Neteller a money order and never, ever, involve your bank.

If you have already besmirched your bank statement with Neteller transactions, consider closing your bank account. Then open an account at a new bank that never touches Neteller. Then, hopefully if a couple years pass before you get audited, IRS wont request or scrutinize those old statements from the old Neteller-tarnished bank.

Just a couple thoughts.