Still working on 2006 Taxes
 

Should I be filing taxes based on this information?
These are all round figures

Winnings:
180k

Losses:
170k

Net:
10k

Cashed out:
4.5k

Re: Still working on 2006 Taxes
 

[ QUOTE ]
Should I be filing taxes based on this information?

[/ QUOTE ]
Assuming you are a recreational player:

[ QUOTE ]
Winnings:
180k

Losses:
170k

[/ QUOTE ]
Yes.

[ QUOTE ]
Net:
10k

Cashed out:
4.5k

[/ QUOTE ]
No.

Re: Still working on 2006 Taxes
 

Pay tax on cashed out winnings an claim ingorance on the rest. IRS has a history of lenience when people attempt to pay taxes but make "mistakes". At most, you pay some interest and small fees.

Re: Still working on 2006 Taxes
 

You cannot 'net' gambling winnings.
Winning go on one line, losses in the dedustions section of the itemized deductions.

obg


[ QUOTE ]
Should I be filing taxes based on this information?
These are all round figures

Winnings:
180k

Losses:
170k

Net:
10k

Cashed out:
4.5k

[/ QUOTE ]

Re: Still working on 2006 Taxes
 

f this just do net

Re: Still working on 2006 Taxes
 

net it up.

Re: Still working on 2006 Taxes
 

Isn't netting illegal unless pro?

Re: Still working on 2006 Taxes
 

yes, it is.

Re: Still working on 2006 Taxes
 

Netting is illegal even for a pro.

They place all winnings on one line, fill out a business form C expenses, you would simply put losses on an itemized deduction line (no hotel, meal, travel, ect. deductions). The latter deductions are the primary differences.

There are requirements though to be considered a pro.

obg

Re: Still working on 2006 Taxes
 

Ok, I'm lost. So you claim the winnings on one form and the losses on another. What's the difference as far as the actual amount of tax you would pay?

From this site:
""I can net my gambling wins and losses." Some gamblers can net their wins and losses—if they are professional gamblers. Most gamblers, however, must put their gambling income on line 21 (Other Income) and take their losses, up to the amount of their winnings, as an itemized deduction on Schedule A. This deduction is not subject to the 2% AGI limitation."

http://www.gambling-law-us.com/Artic...mbling-tax.htm