Taxable Winnings

[Dunbar]

Originally Posted by randallscott35

Got brutalized last year in taxes. But it's a good problem to have....No problem this year. Ha ha.

This can be a real problem. Even a Sch C filer cannot deduct a net loss on gambling from non-gambling income. That's right, even when the IRS accepts gambling as a business, it treats it differently from other businesses.

If you are about even or just slightly ahead in December, you may be betting with a big disadvantage. That's because when you win, you will be taxed, but when you lose, you lose 100% (nothing to offset). So, it's like betting to win 70% but lose 100%.

--Dunbar