Newbie signer question

[FantasticDan]

I stopped into my local OTB today to play the late P4 at Finger Lakes. I missed the 6th race, so I played the P3 instead, which I hit for $900+ on a ($2) $16 ticket with one horse singled in the 7th, two in the 8th, and four in the 9th.

I'm a weekend warrior/nickel and dime player usually, so this will be my first signer. I'm kicking myself for not breaking the bet into two $1 tickets, which I normally do with potentially larger exotic wagers to avoid tax implications.

Anyway, when I cash the ticket, the OTB will require my SS# and then issue me a W-2G form, correct?

I lost my job in Oct 2009, and it's unknown if I will be back to work in 2010. So even tho I may not be employed all of 2010, I'll have to file a tax return based solely on these winnings?

Thanks for the help.

[precocity]

I stopped into my local OTB today to play the late P4 at Finger Lakes. I missed the 6th race, so I played the P3 instead, which I hit for $900+ on a ($2) $16 ticket with one horse singled in the 7th, two in the 8th, and four in the 9th.

I'm a weekend warrior/nickel and dime player usually, so this will be my first signer. I'm kicking myself for not breaking the bet into two $1 tickets, which I normally do with potentially larger exotic wagers to avoid tax implications.

Anyway, when I cash the ticket, the OTB will require my SS# and then issue me a W-2G form, correct?

I lost my job in Oct 2009, and it's unknown if I will be back to work in 2010. So even tho I may not be employed all of 2010, I'll have to file a tax return based solely on these winnings?

Thanks for the help.
yep you will have to pay taxes on that one buddy and add it to your income for this year? advice start picking up losing tickets were you play at too off set it..

[Pell Mell]

I stopped into my local OTB today to play the late P4 at Finger Lakes. I missed the 6th race, so I played the P3 instead, which I hit for $900+ on a ($2) $16 ticket with one horse singled in the 7th, two in the 8th, and four in the 9th.

I'm a weekend warrior/nickel and dime player usually, so this will be my first signer. I'm kicking myself for not breaking the bet into two $1 tickets, which I normally do with potentially larger exotic wagers to avoid tax implications.

Anyway, when I cash the ticket, the OTB will require my SS# and then issue me a W-2G form, correct?

I lost my job in Oct 2009, and it's unknown if I will be back to work in 2010. So even tho I may not be employed all of 2010, I'll have to file a tax return based solely on these winnings?

Thanks for the help.

If your unemployed for all or most of 2010 whether you have to file or not depends on your total income for the year. I don't know your circumstances but the tax book will tell you the threshold of your filing requirements.

I would think that if you have no income for the year you would need a lot more than that ticket to have to file. Unless you collected unemployment and I don't know if they have made that taxable or not.

[therussmeister]

If your unemployed for all or most of 2010 whether you have to file or not depends on your total income for the year. I don't know your circumstances but the tax book will tell you the threshold of your filing requirements.

I would think that if you have no income for the year you would need a lot more than that ticket to have to file. Unless you collected unemployment and I don't know if they have made that taxable or not.

Even if you don't have to file I would anyway, because the IRS is going to have the information on your $900 score and, not knowing you didn't earn enough to file, they may come looking for you. To me it seems more convenient to just file then to have to deal with them.

[newtothegame]

or you could do what most I have seen do...get a local "bum" who is willing to cash it for you for say 10%. taxes now rest on him/her.

[Robert Goren]

Will they withhold part of his winnings?

[Bettowin]

Have Jonnie Lu cash it he doesn't pay taxes:)

[Robert Goren]

Have Jonnie Lu cash it he doesn't pay taxes:):lol: :lol: :lol:

[precocity]

or you could do what most I have seen do...get a local "bum" who is willing to cash it for you for say 10%. taxes now rest on him/her.
had that done before :lol: :lol:

[Pell Mell]

I have cashed a lot of signers and don't file because I'm retired and don't have to file unless I go over an amount that requires me to file a return. If you don't have enough income to require you to file a return they are not going to come after you. What would be the point?

[wisconsin]

You only have to file if your income is above $9350 for single filers under 65. Tne $900 signer could be a non-issue, and no, they won't be witholding any taxes on $900. Maybe you can survive the year on winnings ;)

[FantasticDan]

or you could do what most I have seen do...get a local "bum" who is willing to cash it for you for say 10%. taxes now rest on him/her.Oh, so that's what a "ten percenter" is :D .. I'd seen it referenced before on the forum, but didn't know what it actually was.

There are a couple people I see at the OTB that would fit the "bum" bill, but with my luck they'd cash the ticket and 30 seconds later you'd see me chasing them down the street.. :mad: :D

Thanks for the insights. I'll have to check irs.gov for the minimum "unearned income" threshold etc.

EDIT: wisconsin, thanks for those numbers.. :ThmbUp:

[Bruddah]

Oh, so that's what a "ten percenter" is :D .. I'd seen it referenced before on the forum, but didn't know what it actually was.

There are a couple people I see at the OTB that would fit the "bum" bill, but with my luck they'd cash the ticket and 30 seconds later you'd see me chasing them down the street.. :mad: :D

Thanks for the insights. I'll have to check irs.gov for the minimum "unearned income" threshold etc.

EDIT: wisconsin, thanks for those numbers.. :ThmbUp:

Find a friend or family member age 66 or over. They can cash it and not be worried about the tax implications. It wouldn't hurt to give them a little slice of the pie.

[iwearpurple]

Find a friend or family member age 66 or over. They can cash it and not be worried about the tax implications. It wouldn't hurt to give them a little slice of the pie.

What makes you think people over 66 don't have to pay income taxes?

[skate]

If you do file for 2010 and list $900, you then deduct your loss for the same year, that being what you are aloud, which is $900.


Then in a seperate envelope, you send skate the 10%.:)

thanks babe

[GARY Z]

While I'm not an accountant(maybe someone here is),my understanding
a retired "bum" actually scores out on withhilding rulings by cashing
your ticket.

That said, best advice is to cash out while OTB still exists :eek:

[FantasticDan]

What happens if you put your winning signer ticket into a self-service machine? Does it allow you to convert it into a voucher like any other winning ticket under $600? Or does it spit it back out and say "see mutuel clerk"?

[Bettowin]

What happens if you put your winning signer ticket into a self-service machine? Does it allow you to convert it into a voucher like any other winning ticket under $600? Or does it spit it back out and say "see mutuel clerk"?

Spits it out and makes you go to a clerk.