TAXES???????

[elitegimp]

How do bonuses factor in? Hypothetically, if I made $1000 (net), but had $250 come from bonus whoring, do I only report the $750? Do I report the $250, but in a different manner?

[Kurn, son of Mogh]

If he's talking B&M, he's referring to whether or not the casino withholds money. B&M there's no paper trail, so if you play as a hobby and win over the course of the year, the IRS has no way of knowing.

[Sponger15SB]

[ QUOTE ]
If he's talking B&M, he's referring to whether or not the casino withholds money. B&M there's no paper trail, so if you play as a hobby and win over the course of the year, the IRS has no way of knowing.

[/ QUOTE ]

*Sigh*

I don't know where you infer in my post that is what he meant by it.

He meant exactly what he said. He had no idea what he was talking about.

I even asked him that if I won $20,000,000 playing poker in this cardroom if I had to pay taxes on it, and he said no. He was dead serious.

[Kurn, son of Mogh]

I don't know where you infer in my post

No inference, just a guess. [img]/images/graemlins/tongue.gif[/img]

I even asked him that if I won $20,000,000 playing poker in this cardroom if I had to pay taxes on it, and he said no. He was dead serious.

Well, sure. $20M would effect lifestyle changes that would be hard to explain. But if over the course of the year you won $2,000, I'd estimate the chances of the IRS finding out to be about equal to your getting hit by a meteor.

So in that case, you could omit those winnings with no fear of repurcussions, ethical considerations not withstanding.

[Sponger15SB]

Right.

That wasn't the guys point though, he claims you don't have to pay taxes.

You know you have to, at least, I think so.

[Kurn, son of Mogh]

Unless poker is your primary income, then you can file under Schedule C on just the net winnings.

Not true. The IRS is very tight in who they allow to claim "professional" status. Almost all of us are required to claim our winning sessions as *other income* on Form 1040 and all out losing sessions as itemized deductions on schedule A. If you do not itemize, you must only claim your winning sessions and not deduct losing sessions. IRS Publication 529 expressly forbids claiming the net of wins and losses.

[Kurn, son of Mogh]

You know you have to, at least, I think so.

I know the law, yes. I am also aware that the IRS is not omniscient.

[ricochet420]

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