Just finished up my taxes
 

In 2006 I didn't play all that much. I tallied up my online sessions and my live sessions:

Online Sessions Wins: $22965
Online Sessions Losses: $17040

Live Sessions Wins: $2800
Live Sessions Losses: $6120

(I hate live btw)

This nets to about $2600 in profit.

Because I'm a good citizen who does not like the idea of jail, I claim these correctly (net wins as income, net losses as itemized deduction).

I went from having a refund of $600, to owing $1000 after claiming these very modest winnings. Sick.

Re: Just finished up my taxes
 

that cant be right

Re: Just finished up my taxes
 

you have a real job on top of this I'm assuming?

Re: Just finished up my taxes
 

So, it cost you $1600 in taxes--from $600 refund to owing $1000-- on $2600 profit. Wow, you need to get a tax expert or change tax experts. That's just plain wrong.

Re: Just finished up my taxes
 

[ QUOTE ]
you have a real job on top of this I'm assuming?

[/ QUOTE ]

Yeah.

As far as it cannot be right, please share what you are thinking since I've only done my taxes for 2 years.

Keep in mind that I miss out on the Standard Deduction of $5100 by itemizing my deductions (properly). That accounts for most of the reason why my refund from my normal job(s) turned into me owing the government.

Re: Just finished up my taxes
 

[ QUOTE ]
So, it cost you $1600 in taxes--from $600 refund to owing $1000-- on $2600 profit. Wow, you need to get a tax expert or change tax experts. That's just plain wrong.

[/ QUOTE ]

I appreciate the conversation, but this really doesn't help unless you tell me why. Remember, to properly claim gambling wins/losses you are forced to give up the standard deduction.

Re: Just finished up my taxes
 

unfortunately, that could very well be right esp if gambling losses are your only itemized deduction. sorry dude.

Re: Just finished up my taxes
 

[ QUOTE ]
unfortunately, that could very well be right esp if gambling losses are your only itemized deduction. sorry dude.

[/ QUOTE ]

They are.

Re: Just finished up my taxes
 

This is the same situation I'm in. effing retarded if you ask me. I have to wonder if it's even worth playing since taxes effectively cut my hourly in half. I play 1/2 NL and being in California with the crazy state tax as well, man, it's almost like paying to play.

Re: Just finished up my taxes
 

Filing as a professional would probably be cheaper (Regular taxes + 15% self-employment). Why not do this?