Online Poker and Taxes

Mr.McJ · #1 (**permalink**) 01-09-2007, 10:09 AM

At which point should I worry about claiming my winnings as income?

I just found this website which states....

Quote:

Thankfully, poker winnings both online and in casino poker rooms are non taxable at this time. The government is attempting to pass laws that would require you to claim any and all winnings from online gambling, but at this time, as a casual poker player, there is no need to claim your poker winnings.

Anyone know if this is true?

wastrel · #2 (**permalink**) 01-09-2007, 10:17 AM

This is something I've wondered about. Obv Canada is different from US, where it is kinda almost sorta but not really illegal, so it may make more sense to claim it in Canada than in USA.

Not sure how you get paid back on your winnings, or what tax audits are like in Canada, but in the US if you withdraw the winnings back to your back account and you get audited in a given tax year with unclaimed money in your account history, there may be hell to pay.

I guess it boils down to how much money we're talking and also what other sources of income you have.

I have a very good paying job, so even if I did happen to suddenly become profitable at poker (

) I still have a legitimate income stream to justify how I'm paying my mortgage every month.

SeanyBullets1 · #3 (**permalink**) 01-09-2007, 10:22 AM

Like many of the US players on here that make good money...keep a lotta cash stashed, lol.

xxdemexx · #4 (**permalink**) 01-09-2007, 10:27 AM

taexes...
you don't understand.. In the UK poker is gambling and no-one wins at gambling so we don't get taxed

Mr.McJ · #5 (**permalink**) 01-09-2007, 10:40 AM

Quote:

Originally Posted by xxdemexx

taexes...
you don't understand.. In the UK poker is gambling and no-one wins at gambling so we don't get taxed

I think it's the same in Canada, at least according to that article.

the alex · #6 (**permalink**) 01-09-2007, 10:58 AM

Advantage of a big city are small banks that don't mind setting up an account under a different name... so I hear.

bboy · #7 (**permalink**) 01-09-2007, 11:08 AM

taxes suckkkk

WotaWaster · #8 (**permalink**) 01-09-2007, 11:21 AM

Surely you only pay taxes on net gambling winnings for the year.

I would cash out $100k from online poker and "lose" $93k playing live.

Job done.

phoenixdan5 · #9 (**permalink**) 01-09-2007, 11:26 AM

Why do you think houses have loose floorboards?

xxdemexx · #10 (**permalink**) 01-09-2007, 11:28 AM

Quote:

Originally Posted by WotaWaster

Surely you only pay taxes on net gambling winnings for the year.

I would cash out $100k from online poker and "lose" $93k playing live.

Job done.

Americans pay taxes on earnings made ANYWHERE in the world.