Quick Tax poll (not whether or not you're paying)

[SomethingClever]

How are you reporting?

[MrWookie47]

Option #2 screws me less, and I think I can make a pretty good case that it counts as a single session.

[excession]

neither - UK player so no tax..

I think #2 would have to be appropriate. Reporting on a session by session basis would be really cumbersome and unrealistic (I'm sure day traders don't report income every time they sell a stock at profit).

[teddyFBI]

please explain to a stupid person why it even matters...isn't your net at the end of the year the same?

[TStoneMBD]

you add up wins as income and deduct losses as expenses so if your net income is 100k you end up getting put in a 300k bracket for example. if you claimed every session as each table sitting and won 100k for the year, youd probably end up in a millionaire bracket.

btw im filing by 24 hour period.

[SomethingClever]

This isn't quite true.

Your taxable income should be the same, regardless of how you define your sessions. And your tax rate is determined by your taxable income. You won't be in the millionaire bracket if you make $1,000,000 and lose $900,000 for example.

The problem with reporting each table's wins and losses is that it results in a hyper-inflated AGI (adjusted gross income), which can affect Roth IRA eligibility, student loans, etc...

[BigBiceps]

[ QUOTE ]
I think #2 would have to be appropriate. Reporting on a session by session basis would be really cumbersome and unrealistic (I'm sure day traders don't report income every time they sell a stock at profit).

[/ QUOTE ]

yes, they do

[BigBiceps]

[ QUOTE ]
please explain to a stupid person why it even matters...isn't your net at the end of the year the same?

[/ QUOTE ]

due to phaseout of itemized deductions at higher adjusted gross income and also the alternative minimum tax.

[RikaKazak]

365 days to me