Taxation of sportsbetting winnings?

[doncrizz]

Hey guys...

I was wondering if anyone knows how to avoid claiming your winnings as income on your taxes. I hear that US gambling tax is 50%!?! Does that mean if I make 100k that I have to give them 50k back?? That can't be right.

I was thinking maybe if you setup an offshore bank account and had all your winnings transferred there, you could eventually move there and become a citizen of that country where they don't tax gambling winnings, and then come back to the US if you want after that. I was hoping there was a simpler way to avoid it. Any ideas/suggestions??

thanks!!

 

[GreenDoberman]

Gambling winnings are taxed as income on a separate line on your tax form. It is up to you to claim them.
There is not a 50% tax bracket and you are severely misinformed.

 

[whalewager]

Dont worry about it anyway.

Just start picking up tickets off the floor at the track.

 

[ProPokerPlayer]

This time next yr you'll beg them to let you off easy and JUST pay 50%. In fact you win 50K during an Obama administration you might have to pay a Luck Tax on top of the 80% tax rate and end up owing money...

 

[Railbird]

Dont worry about it anyway.

Just start picking up tickets off the floor at the track.

just make sure they dont have foot prints on them

 

[Willie99]

If a foreigner wins a reportable jackpot, the mandatory federal withholding is 30% which he cannot get back.

If you file a US Income tax return, your net winnings will be taxed at your marginal tax rates, assuming you can take full advantage of your losses as an itemized deduction.

If you are a professional gambler, you can deduct business expenses too, not just losses, but you'll have to pay self employment tax on your net winnings.

 

[bellyputter]

Gambling profits(calendar year) are taxed as ordinary income. $100,000 is in the 28% bracket. We are watching you! :wink: