The elimination of deductions

[dilanesp]

Originally Posted by cj

Aren't pools already taxed by the state? I know some states then still tax winnings too. Not sure I want the federal government taxing the pools, which will lead to takeout increases, and then realizing they can double dip too.

I would only want federal taxation if it were coupled with a repeal of taxation of gambling income.

Honestly the big losers would be advantage players who currently evade taxes.People who currently pay still would but wouldn't have to keep records and go through audits.

[upthecreek]

Current vs Trump plan

[AndyC]

Originally Posted by dilanesp

I would only want federal taxation if it were coupled with a repeal of taxation of gambling income.

Honestly the big losers would be advantage players who currently evade taxes.People who currently pay still would but wouldn't have to keep records and go through audits.

You do realize that giving the government a foot in the door always ends badly. Once they get their claws on 1/4% of a pool how tough would it be to pass a bill increasing that to 1/2% or 1%. Gambling is looked at as a sin and no congressman wanting to get re-elected would want to carry the water for gamblers.

[shouldacoulda]

Originally Posted by showonly

For the recreational gambler gambling losses are taken on line 28 "other miscellaneous deductions" . The "interest you paid" and "gifts to charity" sections could remain in tact while the "miscellaneous deductions" section were eliminated. This would fit the description of the change in deductions described by Mr. Mnunchin.

I consider my losses "gifts to charity" to my fellow parimutuel bettors. lol

[shouldacoulda]

Originally Posted by AltonKelsey

I guess we assume the worst of all lawmakers.

We're used to evaluating past performance. So, yeah!

[AskinHaskin]

Originally Posted by cj

Aren't pools already taxed by the state?

Er, well, they were (significantly) in 1990...



I can think of one state where parimutuel taxes paid to the state were down 90% between 1990 and 2014.

And that can't be a stand-alone trend among states.


In fact, by that measure, present-day horse racing is probably getting pretty much what it deserves from most state governments.

[dilanesp]

Originally Posted by AndyC

You do realize that giving the government a foot in the door always ends badly. Once they get their claws on 1/4% of a pool how tough would it be to pass a bill increasing that to 1/2% or 1%. Gambling is looked at as a sin and no congressman wanting to get re-elected would want to carry the water for gamblers.

That is wrong IMO. States tax pools already. While increases do happen, they don't happen that often. Because there are structural forces that push back against it.

[AndyC]

Originally Posted by dilanesp

That is wrong IMO. States tax pools already. While increases do happen, they don't happen that often. Because there are structural forces that push back against it.

There would be nothing to push back against the feds.