Category Archives: Gambling

A New Jersey couple frequented Atlantic City, and enjoyed playing the slot machines. In 2004, they were “lucky” enough to win $208,420 in jackpots for which they received W-2Gs. The couple, though, didn’t include that income on their tax return … Continue reading →

And that’s not a good thing. Assume you’re an amateur gambler. You add up your winning and losing sessions for the year, and find that you have $150,000 of wins and $100,000 of losses. You get to deduct the $100,000 … Continue reading →

The Swedish tax agency, Skatteverket, is targeting online poker players and affiliates. Skatteverket uses an online “spider,” or web crawler, to find web sites that appear to be income producing. They then investigate to see if they’ve reported income and/or … Continue reading →

Today the Tax Court looked at the case of a “pathological gambler.” This isn’t a problem gambler. As the Court noted, “A pathological gambling disorder is a type of impulse control disorder and mental illness, not an “addiction”. This disorder … Continue reading →

The Tax Court looked at another gambler’s attempt to write off substantial gambling losses. She claimed a losing year, but the IRS felt otherwise. Did she really have gambling losses, or were they a mirage? Gamblers, both professional or amateur, … Continue reading →

I have had several individuals request that I repost an article that originally appeared on TwoPlusTwo.com’s Internet Magazine. Without further ado, here is the article that first appeared in the February 2007 TwoPlusTwo Internet Magazine. TAX MYTHS FOR THE POKER … Continue reading →

Can a woman who owns and operates a trucking business also be considered a professional gambler? That’s what the Tax Court had to decide. Linda Myers operated a trucking business in the Twin Cities. The trucking business was substantial; there … Continue reading →

As I reported earlier, the IRS has revisited Revenue Procedure 2007-57, which would have required withholding on all poker tournament payouts of more than $5,000. I had been told by someone at the IRS that the IRS was going to … Continue reading →