Is money that you win in internet poker websites taxed?

Question

I live in Georgia and I was thinking about playing some internet poker on Fulltilt.com. I was wondering if I won money off of the site will Georgia tax that income?

-How will they keep track of your winnings?

-Are you evading taxes if you just deposit your winnings in your bank account?

Thanks for the answers

Answer 1

If you live in America you are required to declare money you earn when you file your taxes.

If you are depositing money into your bank account, then you need to account for it.  Now a few hundred or so will probably slip under the radar, but if you are depositing a few grand there is a good chance it will be noticed, and you'd be well advised to pay tax on it.

The whole poker online thing is a bit of a gray area, and the government has been reluctant to prosecute people for playing poker.  But not paying taxes?  They'll jump you in a heart beat.

Just remember that these days thanks to the Patriot Act, the government can keep tabs on anything.  So don't deposit money into an American bank account and assume that they won't find out.

Answer 2

It depends on what country you live in.  In the U.S. you're required to pay tax on it, in other contries such as Canada and the U.K. "gambling" winnings are tax free.  None of the places you'll ever play at are going to declare your winnings to the government though which is one of the things that bugs them so it's more or less up to you to declare the profits on your tax return.  If you ever get audited though they may be curious as to where this money came from ;)

King Cobra Poker

http://kingcobrapoker.com/lessons.html

Answer 3

actually much to the dismay of all the other answers  it depends. The new law in poker decided upon the buy in.

pretty much anything over 5000 us dollars gets taxed u dont have to clain smaller wins.

Answer 4

I play on      www.pokerstars.net       and everything I cash out for is exactly what I get. No taxes ;)

Answer 5

Normally the pokerrooms are taxed in the jurisdiction where they have there license, but you might have to report your taxes depending on where you live and where the pokerroom are resident.

If you live in the eu region and play on a pokerroom with base in eu (like Malta & Gibraltar) you winnings are tax free because the same money can't be taxed twice.

For more information about pokerrooms in EU you can visit http://onlinepokersitesguide.com/pokerro...

Answer 6

I don't think your winnings are taxed. My brother has played online as a living for several years and he has never encountered any federal taxation entanglements. He's won thousands before, paid no taxes, and was fine. I think it has something to do with the fact that many poker sites operate outside of the US and all online transfers of money (now illegal in the US) are technically foreign. Besides if you are a beginner, and don't play for high stakes then you have nothing to worry about. I mean if the high rollers aren't taxed then why would you be?

Answer 7

look on the website under cintact us and call them

Answer 8

Well, if it is a small sum no, you dont have to tax. Even 3000 euro, but if you win consistently with months and years you should tax it. Just for be sure, you have to ask in your departments in Georgia