my accountant thinks i have to report my poker accounts

schwza · #1 02-13-2007, 04:18 PM

i'm already declaring my poker income, and have been (b/c i'm not an idiot).

he's saying that i should also declare my poker accounts because you have to declare foreign accounts that have (in total) over 10k in them. it's not going to cost me any money to do so, but i think it might increase the chance i get audited, especially since i'm also reporting accounts from 2004 that i was supposed to report a while ago.

the language for what kin do of accounts you have to report is kind of vague. you can read about it near the of this form

he's also saying i have to report my neteller account, which i agree with.

hoppscot22 · #2 02-13-2007, 04:21 PM

actually... i had this discussion with my accountant also, and she did not give me a definitive answer.

I think her feeling was that actual poker accounts do not need to be reported due to the fact that they are not a "Financial Institution".

Anyone have an accountant who felt sure on this topic?

___1___ · #3 02-13-2007, 04:25 PM

schwza,

FWIW, Russ Fox does my taxes and I didn't have to report the actual poker sites. Just the e-wallets.

___1___

nineinchal · #4 02-13-2007, 04:26 PM

He is technically correct. However the income has to be constructively earned.

According to I. M. Fullashit of the accounting firm of Dewey, Cheatham and Howe, LLP, due to the neteller fiasco, any funds not captured into US banks are not considered consrtuctively earned until withdrawn from your local ATM machine.

He also asks rhetorically, "How the hell is the IRS going to know what the balance in your poker account is?"

schwza · #5 02-13-2007, 04:37 PM

[ QUOTE ]
He is technically correct. However the income has to be constructively earned.

According to I. M. Fullashit of the accounting firm of Dewey, Cheatham and Howe, LLP, due to the neteller fiasco, any funds not captured into US banks are not considered consrtuctively earned until withdrawn from your local ATM machine.

He also asks rhetorically, "How the hell is the IRS going to know what the balance in your poker account is?"

[/ QUOTE ]

do you really this scenario is impossible?

- US cracks down on some site, say Stars
- stars people want to avoid serious prosecution
- stars rolls over, gives up documents

bingo, IRS knows everything about your poker history. it might be exactly what's happening with neteller right now.

nineinchal · #6 02-13-2007, 04:47 PM

Stars ain't rolling over. Lee Jones just stay off shore until this crap is resloved please.

curtains · #7 02-13-2007, 07:16 PM

[ QUOTE ]
[ QUOTE ]
He is technically correct. However the income has to be constructively earned.

According to I. M. Fullashit of the accounting firm of Dewey, Cheatham and Howe, LLP, due to the neteller fiasco, any funds not captured into US banks are not considered consrtuctively earned until withdrawn from your local ATM machine.

He also asks rhetorically, "How the hell is the IRS going to know what the balance in your poker account is?"

[/ QUOTE ]

do you really this scenario is impossible?

- US cracks down on some site, say Stars
- stars people want to avoid serious prosecution
- stars rolls over, gives up documents

bingo, IRS knows everything about your poker history. it might be exactly what's happening with neteller right now.

[/ QUOTE ]

yeah but who really cares, as long as you report your winnings accurately the penalty will be extermely minor for something like this, if not nonexistant. This combined with the fact that its unlikely to occur makes it something that doesn't make sense to worry about too much.

RockMySocks · #8 02-13-2007, 07:21 PM

[ QUOTE ]
According to I. M. Fullashit of the accounting firm of Dewey, Cheatham and Howe, LLP,

[/ QUOTE ]

wow, this joke STILL isn't funny...

Wake up CALL · #9 02-13-2007, 07:23 PM

[ QUOTE ]
the language for what kin do of accounts you have to report is kind of vague. you can read about it near the of this form

[/ QUOTE ]

Vague??? What is vague about: the words "Financial Accounts", seems like more wishful thinking on your part.

Sniper · #10 02-14-2007, 12:57 AM

[ QUOTE ]
[ QUOTE ]
the language for what kin do of accounts you have to report is kind of vague. you can read about it near the of this form

[/ QUOTE ]

Vague??? What is vague about: the words "Financial Accounts", seems like more wishful thinking on your part.

[/ QUOTE ]

I'm actually surprised that Russ doesn't consider poker accounts to be Financial Accounts... while it may be somewhat of a gret area, if you follow how most of those accounts are setup, it seems pretty clear.