Poker and Taxes....This is why there is so much confusion

[MicroBob]

I think they probably have 'kind of' a clue since I believe this actually IS how it 'literally' is supposed to be done...even though it's unrealistic and pretty impossible.

Actually...I think it is technically on each individual 'bet placed'. So if you pay the BB...and then raise and re-raise etc are you supposed to pay taxes based on each of those 'bets'?


As has been said on many aspects of the tax-code...it simply makes no sense.


Now...a tax-preparer who INSISTS on doing it that way is just not being terribly flexible nor practical and seems to be following some really bad all-encompassing 'how-to' guide for how to pay one's taxes on gambling winnings.


For the individual who won $4k and is trying to pay taxes on it.
Just go ahead and pay the taxes on the $4k....you will already be in the minority as there are thousands of BJ and poker (and other) players each year who probably win more than that at the live casinos and don't report it at all (for many it's simply because it never occured to them).


Again...I'm hardly one that should be spewing out advice on this stuff...so if anyone really thinks there is a reasonable chance that he can get in trouble for paing his taxes on his $4k this way then go ahead and correct me.