H
Hannman
Guest
So, if there is no real way to win from gambling without paying taxes, does that mean that players should report all their private games with friends as well? The short answer is yes.
The IRS expects people to report everything they win or lose to gambling, regardless if it’s a small-time win from a friendly Friday night game of poker with friends or a big jackpot from a Las Vegas slot machine. While the IRS cannot realistically persecute every person who has won ten bucks from a friendly game, being honest and transparent is the only surefire way to avoid trouble.
In addition, it should be obvious that no one will be around you to keep track of your every small win from a game with colleagues, which is why gamblers should keep track of how much they win or lose.
Non-monetary prizes such as vacations, cars, or other goodies should also be reported. When reporting material or abstract wins, you’d do your best to report their real market value.
The IRS expects people to report everything they win or lose to gambling, regardless if it’s a small-time win from a friendly Friday night game of poker with friends or a big jackpot from a Las Vegas slot machine. While the IRS cannot realistically persecute every person who has won ten bucks from a friendly game, being honest and transparent is the only surefire way to avoid trouble.
In addition, it should be obvious that no one will be around you to keep track of your every small win from a game with colleagues, which is why gamblers should keep track of how much they win or lose.
Non-monetary prizes such as vacations, cars, or other goodies should also be reported. When reporting material or abstract wins, you’d do your best to report their real market value.
