Missed freeroll deal of the century

[tourney guy]

Good post here. Let's clarify some of the issues.

1) Can the licensed gaming propertry offer merchandise in lieu of cash??

A: I think they can, so long as they can prove that the goods are in FMV for what they collected. The simpler thing to watch is how thew rules for the freeroll are written. The property has to submit them to GCB, get approval, and then follow them to the letter. I can only assume GCB would grant approval prior to allowing merchandise in lieu of cash or cash-based products like buy-ins.

2)Why can't seats be transferred?

A: It is called 'truth in advertising'. If Bellagio says it has a WPT event where the winner gains admission into the WPT championship, the winner HAS to go to the WPT championship, period.

Once GCB accepts the rules to your event, you had better follow them....without exception.

Now, why doesn't HET, MGM-Mirage, etc., allow a player to take a cash option? Good question, and I would guess that there are tax, branding, and leagl issues that apply here.

3) Is a satellite taxable?

A: The research indicates no. IRS rules, as you know, are unclear about poker (A fact that will change by the end of 2006). However, if I play in a freeroll, it is being funded, in part (and theoretically, equally) by my money. If the rules stipulate that I MUST take my seat in a larger tournament, and then I lose, the question is then, "what did I actually lose.

I have done a few of these type of returns in my life. If I win a super-satellite, for example, for $225, and win my seat into a 10K poker tournament. I bust out of the 10K tournament on the first hand.....what did I lose or win??

I tell people to document everything and say that the cash-basis of that tournament is $225, and that is my loss.

My rationale is simple.....if my buddy plays in the same satellite, gets into the 10K event and placed 29 for a 50K payday, I can assure you the IRS is going to say he bought in $225, and not 10K, thus increasing his net win.

Keep the receipt for $225, and you will be fine.

The "G" has never called me back to say I was wrong.

4) As to deals, I don't do deals, and have never contemplated them.