{"id":58918,"date":"2024-02-28T14:05:04","date_gmt":"2024-02-28T14:05:04","guid":{"rendered":"https:\/\/www.bonusfinder.com\/?page_id=58918"},"modified":"2024-10-09T13:01:28","modified_gmt":"2024-10-09T13:01:28","slug":"gambling-taxes","status":"publish","type":"page","link":"https:\/\/www.bonusfinder.com\/guide\/gambling-taxes","title":{"rendered":"Gambling Taxes on Winnings"},"content":{"rendered":"

\ud83d\udcd2 Taxes on Gambling Winnings<\/h2>\n

The gambling operator (casino payer) is required to issue winners a W-2G form<\/a><\/strong> when you get gambling winnings or have or have any gambling winnings which are subject to federal income tax withholding.<\/p>\n

Players must report all gambling winnings on Form 1040<\/strong> or Form 1040-SR<\/strong>. This should also include winnings that aren’t reported on the W-2G form. <\/p>\n

Gambling operators are also required to fill form 1042-S to report gambling winnings paid to non-resident aliens and foreign corporations. <\/p>\n

\ud83d\udcd2 W2G Form Example<\/h2>\n

You can click here to download an example W2G form<\/a>. We also recommend that you visit the IRS webpage<\/a> to download the latest edition of the form. <\/p>\n

\"Snapshot<\/p>\n

Form W-2G for certain gambling winnings requires the payer, such as a casino, to provide the winner’s name, address, date of winning, type of wager, withheld state taxes, etc.<\/p>\n<\/div>\n

Gambling Winnings Tax Estimate<\/h3>\n

With gambling winnings, you may be required to pay an estimated tax on that additional income accruing to you. Tax payers need to consult the publication 505 for more information on ‘Tax Withholding and Estimated Tax’. For specified winning sizes, any instant withdrawal casino site<\/a> will withold federal taxes.<\/p>\n

\ud83d\udcd2 W2-G Triggers, Gambling Taxes, and Casino Games<\/h2>\n

Here are the tax incidences for different casino games that pay real money<\/a> sourced from the BetMGM website.<\/p>\n

Sports and Casino tables<\/h3>\n

This also includes live or non-live, software games such as Roulette, Blackjack, and Baccarat \u2013 games that require skill. The threshold of winnings must be at least $600 and 300x the bet.<\/p>\n