casino in Moscow, are just what is meant in the
IRS statement that any winnings, from whatever form of gambling worldwide, are
taxable and must be reported as "Other Income,” on Form 1040, of the
U.S. Individual Tax Return.
So, what
size jackpot should trigger traceable paperwork? According to
Uncle Sam:
...winnings of $1,200 or more from slot machines and bingo are
taxable. As
for on-the-spot withholdings, there shouldn't be any on
jackpots of less than
$5,000, unless you fail to provide a valid social
security number, in which
case they can withhold 29% of the booty won.
If the spoils are more than $5,000,
the casino is required to withhold
25% of the proceeds for Federal Income
Tax.
...winnings on all table game progressive
side bets with payouts of
300 to 1 or more are fair game for the IRS. Although
W-2Gs are not
required for typical wagers won from table games such as blackjack,
craps, baccarat, roulette, etc., even if you got a decent chunk of
change
on the layout -- but regardless of the amount, casinos are still
subject to
the "Money Laundering Rules", and must report to the IRS,
using
a Cash Transaction Report (CTR), aggregate cash transactions of
$10,000 or
more in any one day.
...winnings of
$1,500 or more from keno, less the cost of the tickets
bought on the winning
game.
...winnings of $600 or more from
horse racing, dog racing, or jai
alai, if the winnings are at least 300 times
the wager.
...winnings of $600 or more
from poker tournaments, (although I am
informed by a few recent e-mails that
this rule is not being applied
consistently)
...and winnings of $600 or more from state lotteries.
Finally, now that you have won a jackpot and received a W2-G, don't
try to
keep your windfall under wraps from Uncle Sam. The IRS also
receives a copy
of your W2-G from the casino, and their computers are
already hungry to share
your kismet well before you file your returns.
Good
Casinos Home
