A Tax Question?

[Fishhead]

Yes. You are required to report all income. However, THERE IS NO PLACE ON YOUR RETURN TO PUT A ADDRESS! Your CPA might want it to have on record in case their is an audit but it does not have to be reported. The IRS might require an address if there is an AUDIT. A audit will occur based on traditional red flags. A red flag would definitely show up if you reported $75k in winnings and $70k in losses for a net $5k profit. You would be better off reporting the $5k net or not reporting at all.

If you are honest, you should not have to worry about an audit, no matter which avenue you choose.

Having said that, that is precisely why I report my wins on line 21 and deduct my losses on schedule A and keep an accurate diary of all my gambling activities to back it 100%.

This also serves me well personally in other tax areas as well.

Been doing it this way for 15+ years.

But as stated earlier, read all you can on your own and get yourself a qualified tax accountant. Together, both you and your accountant will come up with your best way to report your gambling profits.

-FISH-