Can You Help Me With My Casino Taxes?

Home » Recent Posts » Can You Help Me With My Casino Taxes?
Share this on:

Tax forms on a table

It’s that time of year where tax questions flow in (although we get tax questions throughout the year, just more when it’s top of mind for players). Here’s a couple of recent examples:

How do you handle the IRS. Is a win loss statement all you need for taxes? You are able to deduct losses from your wins. So you don’t owe taxes.

Barbara

And

Can you please explain how to use the win/loss statement to offset what taxes you would have to pay for any hand pays that are won throughout the year? And why, for example, it may show you put in 100,000.00 in a year but you know you never took that much cash throughout the year to play with?

Kelly O.

First off, we will always advise players to find themselves an accountant that has gambling tax law experience. The rules are spelled out but many players don’t follow those rules. And we’re not accountants, although we certainly have navigated these tax laws as a consumer ourselves.

Do you seek accounting help for casino taxes?

For instance, the IRS has consistently said on their website for years that win/loss statements are not enough proof for the purposes of gambling losses. Now, where this becomes critical is if you get audited – you can file however you want, but if they audit you and that’s all you have for proof, you’re likely going to have a problem.

We do offer other information in this article about what is needed to write off gambling wins. We also have this article about what win/loss statements are and how to read them. This leads to Kelly’s other question about $100,000 and not bringing that much cash.

A win/loss statement covers the amount of your wagers. You can put $100 into a slot machine and do a lot more than $100 in wagers. That’s because along the way you’re going to win something, and many players will keep spinning when they do. So that $100,000 is how much you have bet, and it will be a multiple of your bankroll.

Aside from general information like the above, however, we can’t give you specific advice about your taxes, because every person’s situation will be different. For instance, whether you use the standard deduction or not is a big factor in whether you can write off gambling winnings (if you don’t itemize, you can’t). 

So, this is why we encourage the advice of an accountant. Spending a bit of money to potentially ensure avoiding very expensive mistakes is a good idea, in our view.

Have a question? Submit yours here!


Share this on:

Leave a Comment

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Play Online Casinos

Sign Up with BetMGM Casino and get a Deposit Match up to $1,000, plus $25 in Site Credits on the house! Available in MI, NJ, PA & WV. US promotional offers not valid in Ontario.

Use code SWITCH2500 for a 100% deposit match up to $2,500, and 2,500 Reward Credits, with $25+ in wagers placed (MI, NJ, PA & WV).

New sign-ups with DraftKings Casino in MI, NJ, PA & WV will receive $35 Casino Credits, plus Play $5 and Get $50 Back in Casino Credits Instantly!

Sign Up and deposit $10+ at FanDuel to get a Welcome Offer of a $20 Bonus + Up to $1,000 Play it Again based on your net losses in the first 24 hours in MI, NJ, PA & WV!

Play Social Casinos

Ready to give Show Me Vegas Slots a try? Get 10 million coins to play Show Me Vegas Slots with promo code SWITCH!

New players to 88 Fortunes Slots receive 5 billion coins as a thank you for signing up!

Sign Up and get a Welcome Bonus of 2,000,000 FREE Gold Coins & 2 FREE Sweeps Coins. Get started today!

Sign Up for LuckyLand Slots and get a Welcome Bonus of 7,777 FREE Gold Coins & 10 FREE Sweeps Coins!

Online Game Spotlight
Double Patriot

Classic Everi Three-Reel Slot with a Fresh Twist

Play Online Sportsbooks

Sign Up to get a Bet $5, Get $150 in Bonus Bets if your bet wins!

Use code SWITCH1000 to get your first bet back in Bonus Bets, up to $1,000, if you lose.

​SIGN UP to get $150 instantly in Bonus Bets* (NC, $5+ bet required) or up to $1500 in Bonus Bets* Back if Your First Bet Doesn't Win (All Other Eligible States)!

New Players get a $1,500 No Sweat Bet, a $50 Bonus Bet with $5 deposit, & Get a No Sweat NBA SGP Every Day of NBA Playoffs! New players outside MA also get 20% Match up to $1,000 (25x PTR).

Social Game Spotlight
Kronos Unleashed Slot

Frequent Feature Livens Up Super Tall Reels

Dragons vs. Pandas Slot Machine

Two Sets of Reels Battle it Out