I want to address the issue of a pro getting credit. If you show qualifying income on your tax return and your credit is good, you will have no problem getting the best loans. I file as a pro and I bought expensive houses and cars and had no problem getting the best rates. There are times where a lender won't consider gambling income but it has happened to me only on a rare occasion.
Yes Pakcer, the comp situation keeps getting worst and worst. You would think with the added competion from California it would get better. History has shown that when business goes down, instead of loosing up, they tighten up and it never gets back to where it was.
Oscar, I'm looking for another accountant myself.
Oscar, I'm looking for another accountant myself.
<BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR>Originally posted by dimeplayersonly:
your risk of being audited by the IRS........is very high<HR></BLOCKQUOTE>
I would agree here dimes...I mean if your profession is a "Professional Gambler" can there be any profession where MORE red flags go up with the IRS
??
your risk of being audited by the IRS........is very high<HR></BLOCKQUOTE>
I would agree here dimes...I mean if your profession is a "Professional Gambler" can there be any profession where MORE red flags go up with the IRS
If you play any reasonable amount at VP in the casinos, you will be able to get a free no interest CASH marker in the casino for a 30 day period.
Have enough of these, and you can rotate them in such a way as to have a free line of credit with no interest.
Personally, I had approximently 15 casinos in Vegas where I was able to do this at.
All totaled up, my available credit limit was around $120,000 or so.
Have enough of these, and you can rotate them in such a way as to have a free line of credit with no interest.
Personally, I had approximently 15 casinos in Vegas where I was able to do this at.
All totaled up, my available credit limit was around $120,000 or so.
<BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR>Originally posted by dimeplayersonly:
ACOSTA........the irs targets certain professions as HIGHER RISK
one of these...... self-employed (professional gambler)
main reason is the higher chance of unreported income........
i was being sarcastic.......when i said "you will be audited"<HR></BLOCKQUOTE>
I know a lot of pros and have heard of very few audits. Although a higher percentage of gamblers may get audited than the norm, it is still a small percentage.
One year, I was low on reporting my W2G's by 4k. Just plain missed one. I got a letter from the IRS saying I under reported my income. I wrote a letter back stating it was so but the bottom line of net income was correct. Then was the end of the audit.
ACOSTA........the irs targets certain professions as HIGHER RISK
one of these...... self-employed (professional gambler)
main reason is the higher chance of unreported income........
i was being sarcastic.......when i said "you will be audited"<HR></BLOCKQUOTE>
I know a lot of pros and have heard of very few audits. Although a higher percentage of gamblers may get audited than the norm, it is still a small percentage.
One year, I was low on reporting my W2G's by 4k. Just plain missed one. I got a letter from the IRS saying I under reported my income. I wrote a letter back stating it was so but the bottom line of net income was correct. Then was the end of the audit.
Acosta I am meeting with these folks plus I have been referred to another local CPA that I have been told does a lot of the poker players returns.
http://www.rbstaxes.com/
http://www.rbstaxes.com/
oscar,
Let us know how your meeting with RBS goes. I ordered their manual, "The Tax Guide for Gamblers" about a year ago, and it was very helpful as well as very professional. They are enrolled agents as well, meaning they can appear in IRS tax court, so thats a good thing. I wonder if an inquisitive agent would look to see if the return in question was prepared by them and say, "Nah, ain't worth it"
Let us know how your meeting with RBS goes. I ordered their manual, "The Tax Guide for Gamblers" about a year ago, and it was very helpful as well as very professional. They are enrolled agents as well, meaning they can appear in IRS tax court, so thats a good thing. I wonder if an inquisitive agent would look to see if the return in question was prepared by them and say, "Nah, ain't worth it"
Where does the 1 in 6 figure come from? That would imply a 17% chance of audit when the IRS usually audits 2-3% of all taxpayers in a given year. Seems extremely high to me.
What IRS policy is for high risk professions such as this is that they have red flags go off for high levels of deductions. Professional bettors put in hundreds of thousands of dollars, or sometimes millions, in deductions if they fill out their forms correctly. Every dollar they lose has to be a deduction to offset their winnings. I think that is why. Still with this being the case I don't think it is good policy for the IRS to audit that many people because in the end they generally aren't that much more successful in recovery from gamblers than they are from any other self-employed group.
What IRS policy is for high risk professions such as this is that they have red flags go off for high levels of deductions. Professional bettors put in hundreds of thousands of dollars, or sometimes millions, in deductions if they fill out their forms correctly. Every dollar they lose has to be a deduction to offset their winnings. I think that is why. Still with this being the case I don't think it is good policy for the IRS to audit that many people because in the end they generally aren't that much more successful in recovery from gamblers than they are from any other self-employed group.
