|
|
#11
09-07-2005, 06:21 PM
|
|||
|
|||
Re: need advice from college students
Dumb question, but does that mean I only have to really report what I earn from poker when I cash out, and not what I keep on the sites I play on?
|
|
#12
09-07-2005, 11:04 PM
|
|||
|
|||
|
Re: need advice from college students
You need to report your total accumulated session winnings and deduct your total accumulated session losses on your taxes in the US.
What/when you cashout, has nothing to do with tax reporting!
|
|
#14
09-07-2005, 11:24 PM
|
|||
|
|||
|
Re: need advice from college students
[ QUOTE ]
True, but the IRS doesnt know the money exists. If he pays taxes in 2 years or whenever he cashes it out, everyone wins, so there's nothing wrong with this. [/ QUOTE ] Aside from being illegal. I get what you're saying, but stating, "There's nothing wrong with this" kind of glosses things over. Its a matter of risk tolerance. You are legally obliged to report all of your winnings and deduct all of your losses. If you kept all of your roll on Party and never cashed out on cent, the chances are slim that the IRS would ever find out about it. It is entirely possible, however. As an example: they see one NETeller withdrawal from January and ask you about it; now you have to either make something up or admit its poker, and then when they ask if you have reported all poker income, you say... How likely is that scenario? No idea, but I'd guess pretty unlikely. But its up to you to decide if you want to risk it, while saying that it is perfectly ok is a bit disingenious. As a note, a couple weeks back I posted a link to a blog of a tax expert and poker player's advice on taxes. I got the link from guinnessandpoker.blogspot.com if you can't find it through the forum search. I highly recommend everyone read the two parts he's got on taxes.
|
|
#15
09-07-2005, 11:37 PM
|
|||
|
|||
|
Re: need advice from college students
[ QUOTE ]
[ QUOTE ] If the income is a problem, leave the money in the poker accounts. You'll never get in trouble for this. When u no longer need to have a low income, then withdraw it and pay taxes. [/ QUOTE ] Wow. I didn't know this. I just assumed I'd have to pay taxes on whatever i made. Thanks [/ QUOTE ] Technically, as others stated, u need to report it all. But this solution has essentially no risk as there is no record of the money and sites dont send account balances to the IRS. This is a solution, if u think its immoral, do what you want. I for one am not upset by it.
|
|
#16
09-07-2005, 11:45 PM
|
|||
|
|||
|
Re: need advice from college students
[ QUOTE ]
but unless it's over 200kish it's not gonna be a problem. [/ QUOTE ] Yeah, I doubt financial aid would be a problem for someone with $200,000 in the bank. wait? this what you're talking about? how can i delete a post
|
|
#17
09-07-2005, 11:50 PM
|
|||
|
|||
|
Re: need advice from college students
The school I goto costs about 40K a year to attend and two summers ago I got a real nice internship which paid me very nicely. As a result, my federal financial aid got murdered by waaayyyy more than what I made. I was going to school for cheap before hand, but that job really screwed me for the following year.
My advice, don't report anything you don't have to at this point. I've heard of another way you might be able to help yourself as well. I don't know if there's any truth to it, but it might be worth looking into. If you're like me, you're parent's don't pay for schooling. I hear its beneficial to get yourself declared an independent. It screws your parents on their income taxes because they can't claim you as a dependent, but if the benefits to you increase more than it hurts them, go for it.
|
|
#18
09-07-2005, 11:51 PM
|
|||
|
|||
|
Re: need advice from college students
[ QUOTE ]
Last year I made like $4000. I put that in my financial aid app along with my parents' salaries and we are paying $x per quarter combined. This $x is significantly lower than the $40K a year that i'd be paying otherwise Here lies the problem. In my taxes this year, I am going to have to report my poker winnings. I don't know exactly what it's going to be but I expect it to be enough to be noticable. I'm really worried about my tuition going up a ton. Like if my tuition jumps from $x to 4*$x per quarter, I am not going to be able to pay for it. My poker bankroll is just that-my poker bankroll. If i have to withdraw, say 10K every 3 months, I'm pretty much going to have to quit poker. This isn't a bitch post at all. I'm genuinely concerned that I'm not gonna be able to afford college next year. Anyone know how much my poker assets will affect my FAFSA amounts? How much will my tuition change? Anything else I can do? [/ QUOTE ] How expensive is your tuition? I also go to school and while I did apply for and recieved a federal loan, I have just decided to pay for school from poker instead. However, my tuition is about $4k a semester. What I plan on doing is only reporting that which I withdraw from my poker accounts. I understand this isn't totally legal, but then again this IRS doesn't seem to have a clue on a way to handle gamblings (specifically poker) winnings. I also don't hoard money in my poker accounts just to avoid the IRS. I only keep my working bankroll in it.
|
|
#19
09-08-2005, 12:03 AM
|
|||
|
|||
|
Re: need advice from college students
[ QUOTE ]
[ QUOTE ] True, but the IRS doesnt know the money exists. If he pays taxes in 2 years or whenever he cashes it out, everyone wins, so there's nothing wrong with this. [/ QUOTE ] Aside from being illegal. I get what you're saying, but stating, "There's nothing wrong with this" kind of glosses things over. Its a matter of risk tolerance. You are legally obliged to report all of your winnings and deduct all of your losses. If you kept all of your roll on Party and never cashed out on cent, the chances are slim that the IRS would ever find out about it. It is entirely possible, however. As an example: they see one NETeller withdrawal from January and ask you about it; now you have to either make something up or admit its poker, and then when they ask if you have reported all poker income, you say... How likely is that scenario? No idea, but I'd guess pretty unlikely. But its up to you to decide if you want to risk it, while saying that it is perfectly ok is a bit disingenious. As a note, a couple weeks back I posted a link to a blog of a tax expert and poker player's advice on taxes. I got the link from guinnessandpoker.blogspot.com if you can't find it through the forum search. I highly recommend everyone read the two parts he's got on taxes. [/ QUOTE ] Linky #1 #2
|
|
#20
09-08-2005, 02:18 AM
|
|||
|
|||
|
Re: need advice from college students
I'm not gonna comment about taxes.
As for the FAFSA, Only report your parents' income, and only attach their tax info. Your FAFSA will not be questioned 99.999 % of the time. The 0.001 % of the time it is found that you didn't enter the right amounts, there is no penalty, they will just adjust the numbers.
|
 |
|
|
Linear Mode
