Don't wager on horse racing if you live in ILLINOIS !!!

Originally Posted by brianwspencer

Same thing happened to me last year.

So you got a letter from IL. dept. of revenue?

Originally Posted by 2Hot4TV

Just pay them you cant win......... 30K in signers and you still lost money why are you playing???????????

Very easy to do if you play everyday and play a lot of exotics. Hey if you are a Win bettor you'll never have this issue.

[brianwspencer]

Originally Posted by SundaySilence

So you got a letter from IL. dept. of revenue?

No, I paid my taxes the way they were supposed to be paid in the first place according to the tax code, so they didn't need to send me a letter.

Originally Posted by brianwspencer

No, I paid my taxes the way they were supposed to be paid in the first place according to the tax code, so they didn't need to send me a letter.

I highly doubt you did, because any wager you made is subject to state income tax the way the law reads. Not only W-2G's, but any wager. You might have claimed your W-2G's on your Ill. state form and paid your 3% on those (without taking losses into account), but in reality the state could go after you for ANY wager you profited on...still using that twin spires card?

Excerpt from Article:

* Most taxpayers believe gambling proceeds are immune from tax, unless they receive a Form W-2G.

* Each pull of a lever or push of a button on a slot machine, hand of blackjack or spin of a roulette wheel is an individual wager that may result in gambling winnings.

* To prove gambling losses and taxable income, taxpayers are subject to rules of proof, recordkeeping, estimating and credibility.

Most taxpayers are unaware of the reporting requirements for gambling wins and losses. This article explains how to calculate and prove taxable income, net winnings and basis or losses claimed.

http://www.wgntv.com/news/wgntv-hors...,6407658.story

From the article...
The board voted unanimously to license three California companies to take electronic bets from Illinois residents through computers, phones, interactive televisions and other mobile devices. State officials said the law will enable them to collect taxes on about $100 million in unauthorized online horse wagers each year in Illinois.

Gov. Pat Quinn signed legislation allowing online horse betting in August. Before the legislation, Laino said the board estimated about $100 million in unauthorized online horse wagers were made annually in Illinois. The new law allows for random account audits and broad oversight of online horse betting, Laino said.

So any bets made previously with Youbet, TVG, or TwinSpires were made illegally before this new law went into effect in August?

[chucklestheclown]

Originally Posted by SundaySilence

http://www.wgntv.com/news/wgntv-hors...,6407658.story

So any bets made previously with Youbet, TVG, or TwinSpires were made illegally before this new law went into effect in August?

It was my understanding that no Illinois citizen was eligible to open an account legally until then. Lots of people did, of course, using off-shore accounts or out-of-state banks and addresses. But that did not make it legal.

I opened account with Youbet in 2007 as a resident of Illinois. I think Scavs said he bet with Youbet, so I can only assume it was legal? It was strange though because I could never compete in those contests that they run. I remember they had one for CD Friday nights and ILL residents (along with a few other states) were not eligible. Something is fishy.

[chucklestheclown]

Don't sweat it and don't use your Twin Spires card anymore. I sure don't.

[brianwspencer]

Originally Posted by SundaySilence

I highly doubt you did, because any wager you made is subject to state income tax the way the law reads. Not only W-2G's, but any wager. You might have claimed your W-2G's on your Ill. state form and paid your 3% on those (without taking losses into account), but in reality the state could go after you for ANY wager you profited on...still using that twin spires card?

Excerpt from Article:

* Most taxpayers believe gambling proceeds are immune from tax, unless they receive a Form W-2G.

* Each pull of a lever or push of a button on a slot machine, hand of blackjack or spin of a roulette wheel is an individual wager that may result in gambling winnings.

* To prove gambling losses and taxable income, taxpayers are subject to rules of proof, recordkeeping, estimating and credibility.

Most taxpayers are unaware of the reporting requirements for gambling wins and losses. This article explains how to calculate and prove taxable income, net winnings and basis or losses claimed.

Well I'm not going to fax you a copy of my tax returns, but there are winnings that I paid taxes on that were not on signers with forms from the track.

But thanks for the refresher.

Originally Posted by brianwspencer

Well I'm not going to fax you a copy of my tax returns, but there are winnings that I paid taxes on that were not on signers with forms from the track.

But thanks for the refresher.

I don't think people follow the law to a "T", this would shut down the riverboats, and the state makes Billions off them. Read this article...

http://www.casinocitytimes.com/home....4AEB36A465DDAD

The game is tough enough and if you can win 3% (right now) to offset the tax you are doing better than 99% of horseplayers. How anyone could think it is fair to pay state income tax on income you never received is beyond me.