Paying Taxes On Online Poker

[milojones 0]

for those of you that have actually cashed out larger sums of money from your poker sites (myself not being one):my cousin who just turned 19 has had a few big cahses in tournaments and wants to cash out a sum of close to 5k. would he be able to legally cash this out and pay taxes on it seeing as he he is not 21. I know there are 18 to gamble casinos in the US but im not sure about the governments stance on an underage person paying taxces on gambling winnings. He wants to be sure before he cashes out. any help is appreciated.

[xzanos 0]

for those of you that have actually cashed out larger sums of money from your poker sites (myself not being one):my cousin who just turned 19 has had a few big cahses in tournaments and wants to cash out a sum of close to 5k. would he be able to legally cash this out and pay taxes on it seeing as he he is not 21. I know there are 18 to gamble casinos in the US but im not sure about the governments stance on an underage person paying taxces on gambling winnings. He wants to be sure before he cashes out. any help is appreciated.

I believe he can, since you only have to 18 to gamble, iirc. You just have to be 21 in most casinos because of the presence of alcohol. although, i also believe this is the first reported case of someone *wanting* to pay taxes.

[milojones 0]

I believe he can, since you only have to 18 to gamble, iirc. You just have to be 21 in most casinos because of the presence of alcohol. although, i also believe this is the first reported case of someone *wanting* to pay taxes.

haha believe me.. he doesnt "want" to pay them.. however, with the current state of online gaming he doesnt want the irs auditing him in two yaers to reveal that he owes them money and have them take his house, car, kids, cat, etc. thanks for the help though

[WhatArunAA 0]

dont tell anyone.. but Xzanos works for the IRS.

[telescop 0]

The IRS doesn't give a S*!T where or how you get the income your paying taxes on. Just that you pay it.

[Dogpatch 2]

The IRS doesn't give a S*!T where or how you get the income your paying taxes on. Just that you pay it.

Yup, if Capone had paid his taxes, they never could've touched him. All he had to do was make up a business and say the money came from that business. On the tax form there is a line for gambling winnings. They're not gonna ask you where or how you gambled.

[PotDragon 0]

On the tax form there is a line for gambling winnings

That only an idiot would fill in.5 grand is poverty level income. Really think the IRS is sending out a team ?Think 45 points if you also have a job. They will appreciate your donation toward Nancy's plane.

[alanstats 0]

cash out 5 1000 dollar checks. Seperately deposit 2 in your bank account. Cash a few out at a check cashing location, and then perhaps another at the bank. Space these out and you'll be fine. 5,000 will not trigger an audit, especially if he is honest elsewhere. Worst case scenario, he sold some personal effects on ebay, you don't have to pay taxes if you sold something that you already paid for do you?

[quadaces 0]

The IRS doesnt care how you got your money they just want thier cut of the money. You can tell them you are a drug dealer and as long as you give them thier part they wont do anything to you!

[RDog 0]

I don't care how much it is, in this environment, anyone recommending he not pay his taxes, is crazy. Yes, he should pay them. You don't put specifically what your gambling winnings were on your tax return, you just put gambling winnings. Also, don't quote me on this but I think either it is against the law or against their internal rules and regulations for the IRS to turn anyone in to the authorities for paying their taxes.

[finztotheleft 0]

Yes, he should definitely pay them, ESPECIALLY if he ever conducted business through Neteller. If the feds have those records, it's not worth IRS issues over a few grand.Remind him to think about deductions......did he buy a new computer last year (for gambling, wink, wink) ? Does he pay for internet access ? Buy any poker books or subscriptions to poker mags ? I'm having my mom collect used scratch tickets from her friends for me to take as a loss. It's too late to do it for last year now, but a tip posted on here before was to make large withdrawals from the ATM's at casinos so that you could say that you then lost that amount at the tables.

[ChunkyLuver69 0]

uhh I thought I remembered online poker was illegalkinda be a funny thing to pay taxes on

[RDog 0]

uhh I thought I remembered online poker was illegalkinda be a funny thing to pay taxes on

Ummm.....huh? Pretty much the only thing they would get you on for playing poker is.......drum roll......not paying your taxes. And Finz, pretty sure you can only deduct things like a computer is if you file as a Professional Gambler.

[Zach6668 513]

Move to Canada.No tax on gambooooooooling unless it is your only source of income.

[finztotheleft 0]

Ummm.....huh? Pretty much the only thing they would get you on for playing poker is.......drum roll......not paying your taxes. And Finz, pretty sure you can only deduct things like a computer is if you file as a Professional Gambler.

There's no union dues, right ?Sure (said with a straight face) Mr IRS man, I'm a professional gambler But your post does bring up what I should have written in mine anyhow.......Consult with a tax advisor/accountantI "skipped" it because I figured a 19 year old kid probably doesn't have an accountant yet.And....for all....I don't "know" what you can deduct. Those are things I've read on the internet, written by other unqualified people like me, that you can. I'll feel like a dufus myself when we meet with our accountant next month if he tells me my bag of scratched lotto tickets are no good .

[Doug 0]

Come and live in England, we have no taxes on poker.

[zedd2005 0]

Come and live in England, we have no taxes on poker.

qft