Is there a limit to how much you can win in a casino before geting taxed, and if so what is it?

Question

Going to reno soon, Need Info..

Answer 1

If you gamble on table games, long as you don't turn in more than $10,000 in chips in one day, they won't ask for your name.

If you win on anything else, they can send you a slip for tax info immediately. I think over a certain amount, like 700 in one shot they will report you. It's gambling winnings minus losses that are taxable.

Answer 2

600 $ is the answer

Answer 3

i think there is but you'll get taxed no mater wat. even if u win 500 or 1000 dollars

and do u mean lik taxed where the so called "uncle sam" takes some money off?

i really don't think u get taxed @ all

Answer 4

Generally, gambling winnings are reportable to the IRS if the amount paid is (a) $600 or more and (b) at least 300 times the amount of the wager. This requirement primarily applies to lotteries, sweepstakes and other big winnings from small bets. It does not apply to winnings from bingo, keno, and slot machines.

Casinos report gambling winnings for these games to the IRS when a player wins $1,200 or more from a bingo game or slot machine or if the proceeds are $1,500 or more from a keno game. When you exceed these amounts, the casino may withhold taxes and will provide you with IRS Form W-2G. They keep the original and give you two copies of the form. (If state income tax withholding is required on gambling winnings in your state, additional taxes may be withheld.)

The rules are different for table games (such as blackjack, baccarat, craps, roulette or other spinning wheel games.) Since Nevada casinos do not know the amount you started with, they are not able to determine how much you won (...your taxable gain.) As a result, federal law provides that there is no withholding or even reporting of table game wins to the IRS. It therefore follows that table game winners probably do not report their gambling profits to the IRS.

You not only pay taxes on gambling profits, but you can also claim gambling losses as an itemized deduction as well. But you must keep some kind of documentation (such as a diary or tickets) to substantiate the amount and nature of the losses. In any event, you cannot claim gambling losses that exceed your winnings.

Answer 5

$1,000 and over needs to be taxed.  You can do that at the Casino, before they give you the cash.

Answer 6

Here is the IRS p**p on it:

http://www.irs.gov/newsroom/article/0,,i...

and

http://www.irs.gov/taxtopics/tc419.html

Topic 419 - Gambling Income and Expenses

Gambling winnings are fully taxable and must be reported on your tax return. You must file Form 1040 (PDF) and include all of your winnings. Gambling income includes, but is not limited to, winnings from lotteries, raffles, horse races, and casinos. It includes cash winnings and also the fair market value of prizes such as cars and trips. For additional information, refer to Publication 525, Taxable and Nontaxable Income.

A payer is required to issue you a Form W-2G (PDF) if you receive certain gambling winnings or if you have any gambling winnings subject to Federal income tax withholding. All gambling winnings must be reported irrespective as to whether any portion thereof is subject to withholding. in addition, you may be required to pay an estimated tax on your gambling winnings. For information on withholding on gambling winnings, refer to Publication 505, Tax Withholding and Estimated Tax.

You may deduct gambling losses only if you itemize deductions. Claim your gambling losses as a miscellaneous deduction on Form 1040, Schedule A (PDF). However, the amount of losses you deduct may not be more than the amount of gambling income you have reported on your return. It is important to keep an accurate diary or similar record of your gambling winnings and losses. To deduct your losses, you must be able to provide receipts, tickets, statements or other records that show the amount of both your winnings and losses. Refer to Publication 529, Miscellaneous Deductions, for more information.

THE BASICS OF THE GAMBLING TAX LAWS

# Gambling winnings are taxed by both the IRS and by many states.

# All winnings from all forms of gambling are taxable and must be declared as income on your tax return.

# All losses from all forms of gambling are deductible as an itemized deduction for recreational players, limited to the amount of winnings declared.

# Professional gamblers hold file as a self-employed business using Schedule C.

# The value of "comps" received are considered to be gaming winnings and should be included in your total winnings. This does allow you to deduct gaming losses to offset the income from the "comps."

# Wins and losses are reported only in the year they occur. Excess losses cannot be carried forward or back to offset winnings in other years.

# Married couples filing a joint return must combine their winnings and combine their losses, and report only one figure for each.

# The IRS has issued instructions that "lumping" is unacceptable. "Lumping" is the practice of reporting one net win figure and no losses, or reporting nothing if your net from gambling is a loss. You must report the total of your winning sessions separately from the total of your losing sessions.

# The IRS requires that an accurate diary or similar record must be maintained for substantiating your wins and losses, and that the diary should contain at least the following information: (1) the date and type of your specific wager; (2) the name of the gaming establishment; (3) the address or location of the gaming establishment; (4) the names of the other person(s), if any, present with you; (5) the amount(s) you won or lost.

# The IRS also requires that in order to substantiate your diary, supplemental records are required, including the following (these records are not to be submitted with your return, but will be needed should you be audited): (1) W-2Gs; (2) wagering tickets or receipts; (3) canceled checks; (4) credit card records such as cash advances; (5) bank withdrawals; (6) any receipts provided by the gambling establishment.

# The IRS form W2-G is issued to players and is also sent to the IRS by the casino for certain gambling winnings: (1) winnings of $600 or more from state lotteries, horse racing, dog racing or jai alai and other wagering transactions, if the winnings are at least 300 times the wager; (2) winnings of $1,200 or more from bingo and slot machines; (3) winnings of $1,500 or more from keno, less the amount of the tickets bought on the winning game; (4) winnings of $600 or more from horse racing, dog racing or jai alai, if the winnings are at least 300 times the wager.

# W2-Gs are not require for winnings from table games such as blackjack, craps, pai gow, baccarat and roulette, regardless of the amount.

# Casinos and card rooms are subject to the "money-laundering rules," and must report aggregate cash transactions of $10,000 or more in any one day to the IRS. They also can make out such reports for amounts as low as $2,000 if they are suspicious. Once a casino has your SSN and ID on record, they can issue these Cash Transaction Reports (CTRs) without your knowledge.

So the Casino has to withhold 30%, and report your winnings to the IRS. The withholding usually starts at $5,000.

AND REMEMBER:

Corporations did not BUILD those huge, lavish casinos by paying out winnings to gamblers. They built them by keeping money from losers.

IF you happen to HIT IT BIG, the Casino will KNOW WHAT TO DO.

And you will be subject to state taxation as well.

Answer 7

Poker rooms in Nevada fill out the paper work if you win $600 or more on a jackpot type hand or bad beat jackpot. Just happend to me winning $895 with a Royal Flush high hand jackpot in holdem.

Answer 8

Yes, I think it is $.01.  You have to balance your winnings against what you spent on gambling for the year, though.

Say, you go to a local casino and spend $20 and win nothing, then you spend $53 on lottery tickets this year and win nothing, then you go to Reno and spend $400, and win $2000.  Your winning will be offset by what you spent on gambling for the entire year.

Answer 9

"The one good news is Nevada casinos were also able to convince the IRS that they could not keep track of players at table games. They said that when a player cashes out for $7,000, they do not know whether he started with $25 or $25,000. So it is actually written into the law that there is no withholding or even reporting of big winnings to the IRS for blackjack, baccarat, craps, roulette or the big-6 wheel."

SIDEBAR: Rules for Tax Reports and Withholdings on Winnings

    * Slot machines and bingo: Payouts of $1,200 or more are reported to the IRS, but there is no withholding taken out.

    * Keno: Similar to slot machines, but the amount won must be at least $1,500.

    * State lotteries and sweepstakes: Withholding is taken out of all winnings of more than $5,000.

    * Parimutuel pools, including horse and dog races: Subject to withholding, but only if the winnings are both more than $5,000 and at least 300 times as large as the amount bet.

Good luck out there!

Answer 10

you should pay tax on all of it.

Gambling winnings are fully taxable and must be reported on your tax return. You must file Form 1040 (PDF) and include all of your winnings. Gambling income includes, but is not limited to, winnings from lotteries, raffles, horse races, and casinos. It includes cash winnings and also the fair market value of prizes such as cars and trips. For additional information, refer to Publication 525, Taxable and Nontaxable Income.

A payer is required to issue you a Form W-2G (PDF) if you receive certain gambling winnings or if you have any gambling winnings subject to Federal income tax withholding. All gambling winnings must be reported irrespective as to whether any portion thereof is subject to withholding. in addition, you may be required to pay an estimated tax on your gambling winnings. For information on withholding on gambling winnings, refer to Publication 505, Tax Withholding and Estimated Tax.

You may deduct gambling losses only if you itemize deductions. Claim your gambling losses as a miscellaneous deduction on Form 1040, Schedule A (PDF). However, the amount of losses you deduct may not be more than the amount of gambling income you have reported on your return. It is important to keep an accurate diary or similar record of your gambling winnings and losses. To deduct your losses, you must be able to provide receipts, tickets, statements or other records that show the amount of both your winnings and losses. Refer to Publication 529, Miscellaneous

Answer 11

Technically you are supposed to claim all of your gambling winnings; offset by any gambling losses.  I do not know if there is a certain limit after which the casino will notify the IRS of your winnings though - sorry.