IRS suggests dropping casino winnings threshold from $1,200 to $600

[knagl]

No thank you!

LVRJ: IRS suggests dropping casino winnings threshold from $1,200 to $600

[uknowme]

Insanity.  They're going in the wrong direction.  If they set it at 1,200 in 1977, they should index it to inflation so the materiality remains the same.  That would be $4,841.48 in 1977 dollars.  Round it up to 5K.

[Voice of Reason]

Insanity.  They're going in the wrong direction.  If they set it at 1,200 in 1977, they should index it to inflation so the materiality remains the same.  That would be $4,841.48 in 1977 dollars.  Round it up to 5K.

X2

One of the good things about 25c VP is no W2-Gs, which means not having to maintain a W/L record for taxes.  Without that record and the opportunity to deduct losses it becomes less sensible to play. 

[Friedmush]

Insanity.  They're going in the wrong direction.  If they set it at 1,200 in 1977, they should index it to inflation so the materiality remains the same.  That would be $4,841.48 in 1977 dollars.  Round it up to 5K.

X2

One of the good things about 25c VP is no W2-Gs, which means not having to maintain a W/L record for taxes.  Without that record and the opportunity to deduct losses it becomes less sensible to play. 

Single line non-progressives are safe. I had qualified for a W2-G playing three line last year.

[BTHodgeman]

Seems kind of stupid, but it really won't matter for most gamblers, except it will take them a little longer to do their taxes. Sounds like the IRS is just trying to keep some people employed reviewing useless paperwork. Typical government function. lol.

The casinos probably have to pay something to file all their W2Gs with the IRS, so it's probably a play to make more money too.

[The Crazy Brazilian]

I only play quarters because I am subject to backup withholding (Brazil does not have a tax treaty with the US). If the IRS lowers the limit for withholding I'll have to find another hobby, since I am not inclined to give up almost 1% in EV be it to the casinos or to Mr. Obama.

[phil7200]

It would be interesting to know just how many VP players only play single line quarters.

[knagl]

It would be interesting to know just how many VP players only play single line quarters.

The vast majority of my VP play, at least in Vegas, is on single line quarters.  I'd say over 95% of it.

I like multi-line games, but generally the paytables don't match up to the single-line versions.

Here at home, I've lately been playing triple-play dimes since the paytables stink no matter what denomination you're playing, but I'm perfectly content playing single line quarters if the paytable is right.

[BTHodgeman]

I only play quarters because I am subject to backup withholding (Brazil does not have a tax treaty with the US). If the IRS lowers the limit for withholding I'll have to find another hobby, since I am not inclined to give up almost 1% in EV be it to the casinos or to Mr. Obama.

Ahhh! I didn't even think of that, and I bet you that's a big drive for the IRS in considering this.

For those from some other countries, estimated taxes are withheld instantly by the casinos!

Brent

[justmare]

Ridiculous for them to even suggest this. Freaking government is out of control.

I get enough W2G's playing dollar single line DDB and TDB. If they lower it to $600 I'll definitely have to quit. Every kicker quad or set of aces would generate a W2G.

If they changed how your FILE then maybe it wouldn't be so bad, but if the W2g amount continues to be added into your Adjusted Gross Income then it would potentially put people in a higher tax bracket causing them to pay more taxes. IF they changed that to ONLY your NET win being added then it wouldn't matter to most gamblers.

[KarenTN]

this was my first married filing jointly return.   We don't have an income tax in Tennessee,  but we can deduct a calculated AMOUNT AS SALES TAX.   With my mortgage interest,  sales tax deduction, property tax,  and charitable contributions,   our itemized deductions were just a hair under the standard deduction for jpint returns.   If it hadn't been for the $4K W2G from January (it was a BAD year and that was my only winning day all year long),   we wouldn't have itemized and would have just done a 1040 EZ

[Blonde4ever]

As a Canadian..I was pissed at the $1200 level!
$600 is just ridiculous.
Taking 30 % away from us never has made any sense to begin with!

[stungazed]

As a Canadian..I was pissed at the $1200 level!
$600 is just ridiculous.
Taking 30 % away from us never has made any sense to begin with!

Sure it does. Because if you don't take the time to file a return to get it back, they get to keep your money!

[Blonde4ever]

OK..I get that.

But why am I paying taxes to a country I don't live in?
That is what I meant about it not making sense.

It just seems punitive.
I already spend ALL my vacation dollars there.

[The Crazy Brazilian]

If I am not mistaken, Canadians can ask for a refund.