Poker related write-offs for non-pros

[MasterLJ]

Can we write-off things like gas to casino, computer equipment, etc... if you are not filing as a pro?

I'm a little ticked that my modest 2006 winnings have swayed my tax liability from +600 to -1000. I haven't written off any of my purchases (2 monitors, gas to casinos) which could save me a few hundred.

If it is possible, are they miscellaineous deductions?

Thanks in advance.

[Lost Wages]

Under no circumstances can you deduct expenses as a non-pro. Sorry.

Lost Wages

[MasterLJ]

Thanks for the quick reply.

[Poker CPA]

Lost Wages:

Can you give the source of that in the IRS rules and regulations. It would be helpful to MasterJ.

[plasphemy]

Well, I read in RBS Tax Services' "The Tax Guide for Gamblers" that a gambler was successful deducting expenses on Schedule A under IRS code Section 212, "Expenses for the Production of Income." (Rowles TC Memo 1986-30).

Apparently he had to go all the way to tax court to get it though.

Have you tried filing as a pro and depreciating your monitors? Filing as a pro allows you to keep your standard deduction and is sometimes cheaper.

You can't deduct a "commute" to your local casino though, you can only deduct trips to out of town casinos.

[Poker CPA]

Excellent work "plasphemy". Congrats

Do we have a debate "Lost Wages"? I'm sure the OP would like the source to your tax conclusion. I smell amended return baby. Cash on the sidewalk.

[BigBiceps]

I smell the IRS trying to get you to file on schedule C and requesting additional self-employment tax for SSN and MediCare if you deduct this stuff on the schedule A.

If they notice.

[Poker CPA]

I smell defined benefit

[MegaDisgruntled]

If you file as a "hobby," the only thing you can deduct is losses. Under no circumstances should you just "net" winnings.

Mega

[depokerstar]

Not worth the potential headaches and risk for $1600...IMO anyways

[Poker CPA]

Source MEGA? Please.

[MasterLJ]

[ QUOTE ]
If you file as a "hobby," the only thing you can deduct is losses. Under no circumstances should you just "net" winnings.

Mega

[/ QUOTE ]

That's not true at all. You can absolutely deduct things like Home Mortgage Interest no matter what your profession is. Did you just mean that you may only deduct your losses in terms of gambling-related expenses?

I don't think anyone is talking about netting winnings either. I'm getting royally fisted because my income was inflated by about $25k due to properly reporting winnings. I think if I was a bit more careful with the term "session," I might see a savings (might not also), since currently I used PokerTracker and sorted by day.

[MegaDisgruntled]

yeah, referring to gambling related expenses only.

Mega

[Poker CPA]

Mega:

Can you give the source of that in the IRS rules and regulations. It would be helpful to MasterJ.

[MasterLJ]

Which part?

[Poker CPA]

gambling related expenses