New IRS rules finalized

[MikeH]

Mike: Please move this if it isn't in the correct forum.

The new rules for reporting gambling income have been made final effective 1/1/2017. They were issued last Friday (March 3), so little has been published, and I do not have a real need to stay on top of this. The article below doesn't discuss horse racing, but I *think* it only discusses *reporting* and not *netting* of wages, so it might be of little use in here. Someone with better info, please jump in...

http://www.cpapracticeadvisor.com/ne...ambling-income

[dilanesp]

Originally Posted by MikeH

Mike: Please move this if it isn't in the correct forum.

The new rules for reporting gambling income have been made final effective 1/1/2017. They were issued last Friday (March 3), so little has been published, and I do not have a real need to stay on top of this. The article below doesn't discuss horse racing, but I *think* it only discusses *reporting* and not *netting* of wages, so it might be of little use in here. Someone with better info, please jump in...

http://www.cpapracticeadvisor.com/ne...ambling-income

Not our game, but that slot machine rule looks totally unfair. If you win $1,200 in a slot machine, they not only report it and expect the tax to be paid but they don't even deduct the amount you put in the machine. Slot players are playing a negative expected value game to begin with-- and then the federal government poops on them as well.

[JohnGalt1]

Slot players like all gamblers should keep track of every dollar wagered.

I also play blackjack and some video poker and I keep a diary of all my betting.

Shouldn't we all?

[AlsoEligible]

Originally Posted by dilanesp

If you win $1,200 in a slot machine, they not only report it and expect the tax to be paid but they don't even deduct the amount you put in the machine.

Ironic considering that the proposed changes for horse racing winnings would do the exact opposite - that the total amount of the ticket will be used (finally) to calculate whether the payout is eligible for reporting or withholding.

http://www.accountingtoday.com/news/...bling-winnings

Apparently these rule changes are still out for public comment until the end of March. There were some whispers late last year that these could be implemented prior to Triple Crown. We'll see.