New Tax Law

[Asimo 1]

:D :D :) 25%http://www.cardplayer.com/poker-news/artic...nament-winnings** Searches preformed, nothing found. Fuuck you if it's already been posted.

[KentuckySlim 0]

:D :D :) 25%http://www.cardplayer.com/poker-news/artic...nament-winnings** Searches preformed, nothing found. Fuuck you if it's already been posted.

I just gave it a quick read, but it looks to me like this law doesn't really affect anything except the timing of payments (at least for people who actually report their winnings).

[RDog 0]

I just gave it a quick read, but it looks to me like this law doesn't really affect anything except the timing of payments (at least for people who actually report their winnings).

Agreed. Looks like this is basically the same thing as how bonuses are treated when you work for a corporation. They take more taxes out initially to offset the possibility of you moving to a higher tax bracket. Not much news since anyone playing these would have to be retarded to not pay taxes on those winnings. Government just getting it now instead of later.

[Asimo 1]

Guess it seems like a lot to me since I primarily play live cash and never report any cash winnings.

[ObeyTheDog 0]

I just gave it a quick read, but it looks to me like this law doesn't really affect anything except the timing of payments (at least for people who actually report their winnings).

Yeah, but what about professional gamblers who normally get to net out their wins. I guess now it just means you'll be paying 25% upfront and then getting a refund the following year.

[KentuckySlim 0]

Yeah, but what about professional gamblers who normally get to net out their wins. I guess now it just means you'll be paying 25% upfront and then getting a refund the following year.

Well, generally professional gamblers make quarterly estimated payments, so I'd imagine those payments would just be a little lower. The government almost always finds ways to get theirs upfront - hence why they deduct taxes from your paycheck.

[ObeyTheDog 0]

Well, generally professional gamblers make quarterly estimated payments, so I'd imagine those payments would just be a little lower. The government almost always finds ways to get theirs upfront - hence why they deduct taxes from your paycheck.

I see.But if they start taking out 25% and all you play is tournaments, then you don't owe anything additional off those winnings, right?

[RDog 0]

I see.But if they start taking out 25% and all you play is tournaments, then you don't owe anything additional off those winnings, right?

All depends on what tax bracket you end up being in at the end of the year. In the end, no, you don't pay more doing it this way.

[BigLebowski 0]

http://www.fairtax.orgRead it, sign the petition, and pray. Why are we required to give our government an interest free loan on ANY of our earnings?

[yeffy 0]

http://www.fairtax.orgRead it, sign the petition, and pray. Why are we required to give our government an interest free loan on ANY of our earnings?

QFTI always want to owe at the end of the year. Getting a refund is -EV bigtime.

[RDog 0]

Been reading the P5's thread on the same issue and it looks like this could have more of an effect that it first appears. With so much variance in tournament poker, giving up 25% now will be a big deal for some of the marginal players on the tour. Amazed that Harrah's let this happen. How is it that all these companies making so much money off of us (including online) are always like 5 steps behind? I don't get it. They make so much money off the game yet never have the foresight to see something like this coming and stop it before it does.

[XX44466XX 0]

25% is still 25% where I come from, and that amounts to highway robbery in my book.If I'm lucky enough to make a big win, Uncle Sam takes a quarter-cut? BS I say.

[GWCGWC 83]

Been reading the P5's thread on the same issue and it looks like this could have more of an effect that it first appears. With so much variance in tournament poker, giving up 25% now will be a big deal for some of the marginal players on the tour. Amazed that Harrah's let this happen. How is it that all these companies making so much money off of us (including online) are always like 5 steps behind? I don't get it. They make so much money off the game yet never have the foresight to see something like this coming and stop it before it does.

All Harrah's properties give you a tax form to fill out when you cash over a certain amount in a tourney. $600 I believe. They report this to the IRS so you have to offset that win with losses or pay the tax. I was shocked when I made the FT of a tourney and they told me this. I don't think other Vegas properties were doing this. Casino's with hold taxes for slot jackpots so this is nothing new for them. They actually will benefit since, I think, they keep the money in an interest bearing escrow acct.

25% is still 25% where I come from, and that amounts to highway robbery in my book.If I'm lucky enough to make a big win, Uncle Sam takes a quarter-cut? BS I say.

You'll pay more like 35-38% sir, at least.

[electrichead1103 0]

5,000 is still imo too low of a number maybe 10+ or more.its really gonna hurt low buy in tournies now this is "out there"

[ibuddy 0]

New Tax Law Takes Bite Out of Tournament WinningsLaw Will Require Casinos to Take 25 Percent of $5,000 or MoreA new tax code has been released that spells out just how much money the government will take from those who are lucky enough to cash for $5,000 or more in poker tournaments.Starting March 4, 2008, casinos and cardrooms are supposed to start withholding 25 percent of any poker tournament winnings of $5,000 or more. This will particularly affect the poker hobbyists who go deep in tournaments with buy-ins that range from $100 to $550, and of course those who make their living humping the tournament poker trail.Language in the new tax code pointed to a tax court ruling that took place earlier this year. The ruling held that tournament poker is not a skillful competition and should be considered a gambling activity, at least for the purposes of taxation. The law requires casinos and cardrooms to withhold and report the winnings from a player if it amounts to $5,000 or more in a tax year. The code does not address winnings from online poker sites or from casinos off U.S. soil.Here’s an example of how much money the government will be making off of poker tournaments after March 4, 2008. If the law was in effect earlier this month, the top seven finishers of the $500 event that took place Aug. 7, at the Legends of Poker would have paid a total of $40,221 in taxes.The runner-up of this tournament, which attracted a healthy 460 entrants, would have taken home $27,972 after taxes ($37,295 before). The winner received $74,585. If the law was in place, that amount would’ve been $18,646 less.

[GeneralGeeWhiz 0]

first! you suck jerad

[DoinSublime 0]

The sooner we kill everyone in the IRS, the better,

[DoinSublime 0]

first! you suck jerad

omg, so fucking rigged,Vote for the fair tax, obv.And shoot any fucking cowboy IRS motherfuckers that come near you.

[GeneralGeeWhiz 0]

omg, so fucking rigged,Vote for the fair tax, obv.And shoot any fucking cowboy IRS motherfuckers that come near you.

lol, i will vote for the fair tax, but i was first to post and that means you SUCK

[Asimo 1]

[Pot Odds RAC 23]

Guess it seems like a lot to me since I primarily play live cash and never report any cash winnings.

Then you're a tax cheat who caused this law to be written.

[total_con12 0]

Great sig, please post more.

[Pot Odds RAC 23]

The sooner we lock up the freeloading tax cheats who don't think they have to pay their fair share because it came from a casino, the better,

fyp

[ice4804 0]

Language in the new tax code pointed to a tax court ruling that took place earlier this year. The ruling held that tournament poker is not a skillful competition and should be considered a gambling activity, at least for the purposes of taxation.

What a ludicrous statement ...

[Pot Odds RAC 23]

What a ludicrous statement ...

If it weren't for luck, I'd win them all.