Paris Tourney Tax Question

flopinthenutz · #1 08-25-2006, 02:08 PM

My wife recently played one the daily tourneys. Iit got down to 4 people and they decided to chop. The floor they says they have to pick a winner so he can get a W2-G. None of the payouts were over $600. Wtf is up with that????

growlers · #2 08-25-2006, 02:12 PM

I started a thread along these lines awhile back. They require forms because they are a Harrah's property. Not sure about the cutoff amount. Another reason to ban any Harrah's property. I think you can give them a fake name, they don't check the ID, at least that is what a dealer at one property told me.

http://forumserver.twoplustwo.com/showfl...&PHPSESSID=

psandman · #3 08-25-2006, 05:31 PM

ts a jackass rule. Not the issuing of W2-G's the stupid rule that they won't recognize the chop on the tax forms.

If there is an agreement to chop the prize pool and the casino allows teh chop (whioch they do since they stop the tournament and pay out the money) then they should not issue a W2-G unless the amount paid to a player actually is $600 or higher. It is irrelevant what the winner would have received if they played it out the end.

I was under the understanding that Caesars stopped this practice would think all the other Harrahs properties should follow suit.

ID's are in fact checked -- there is a spot on the W2-G asking for a form of ID

Masquerade · #4 08-25-2006, 05:37 PM

This is why you should play tourneys at the Wynn, or Bellagio, and boycott Harrahs casinos.

3173 · #5 08-25-2006, 06:25 PM

I cashed for 2 grand and got one of these. Do I need to report it?

psandman · #6 08-25-2006, 09:37 PM

[ QUOTE ]
I cashed for 2 grand and got one of these. Do I need to report it?

[/ QUOTE ]

A W2G is sent to the IRS, so if you don't report the income you may have the IRS asking why.

bav · #7 08-26-2006, 09:17 PM

[ QUOTE ]
I cashed for 2 grand and got one of these. Do I need to report it?

[/ QUOTE ]

It's a W2. The IRS computers are gonna know about it. YES you darned well better report at least that much as gambling winnings come April. And no, you cannot deduct from that gambling losses. You must report the winnings, and then separately, IFF you itemize you can include gambling loses as part of your Schedule A deductions. So even if you lost $5000 overall, but won $2000 at that tourney, if you don't itemize you're stuck reporting $2000 of gambling winnings. And in reality, the IRS may come knocking asking why you only reported $2000 of gambling income when they got a W2G of $2000--they realize that only a small fraction of total winnings are W2'd, but you're expected to track and report all of it, so a return that reports as income exactly what they get in W2G's will be suspicious.

As for Paris demanding someone get a W2G... that sounds exactly like the BS Caesars was doing early on. But Caesars said they got Harrah's corporate folks to agree that was bogus and they now only do W2G's for the actual amount they pay folks. I don't think Paris should be doing this.