Need some help!! Gambling losses and taxes...

[Goose]

Last April (of '05), I had the good fortune of winning a decent amount of cash on a slot machine in Detroit. I never play slots...but it was one of those deals where this machine was 'calling me'.... and it paid off well...

Naturally, I got the form to report my 'activity' to Uncle Sam......and also had them take out the appropriate federal taxes immediately. It wasn't something I wanted to worry about down the road. At that point, I figured I covered my nut with the government and I was done with this situation.


Fast forward to now....and what I didn't really know is that you can also claim gambling losses up to the amount that you won. Stupid me for not doing the homework prior.....

So---here's where I am. I have a 'loss statement' from the one casino I go too that tracks how much you have lost on your player's card. I need to get or be creative in how I can claim gambling losses from 2005, in order to try and reclaim the federal dough that they took from me right out of the gate......

Does anyone ave any ideas??? Obviously, it has to be specific to the calendar year of 2005... How strict are they in terms of proving losses?? I can dumpster dive for used $1 scratch offs--but there has to be something easier than that...not to mention that it would take forever to collect. I tried to get a win/loss from the my offshore, but they said they couldn't really provide one.... Can you show WU transactions?? Is offshore betting a valid 'loss' in Uncle Sam's eyes??

I could really use any input that you might have....I have been driving myself nuts over the last few days trying to come up with an answer! :dizzy:

Thanks in advance, and GL to all in the Dance.....

 

[The Boys]

I have a sharp CPA do this every year for me and I would recommend that to you, just in case. We don't need the IRS auditing any of us, that is no fun.

 

[Goose]

Absolutely. I want to play by the rules.....sorta. Actually, my acct. mentioned the losing lottery tickets, bingo scratch offs, and things of that nature, but at a buck at a time, that is one heck of an uphill battle..... Horse racing tickets and losing wager tickets from Vegas would work---but the problem is that it has to be dated 2005...

 

[Hooks]

How about getting your bank statements for 2005 and highlighting your withdrawls that were used for gambling purposes!

 

[Another Steve]

You need tickets and programs for Horseraces. I've seen people not get to use HR tickets, they really watch those close.

 

[BleedDodgerBlue]

I tried to get a win/loss from the my offshore, but they said they couldn't really provide one....

any book worth a damn will give you that information. tell them you are withdrawing everything and going elsewhere if they won't.

also, if you are even halfway serious about sports gambling you should take meticulous records and take screenshots of all your wagers. real simple to do and just put it in a folder.

some books, pinnacle for one allow you to access your bet history back for five years with each wager and gives you profit and loss. not sure of others that do this, but oly and a few others have emailed me detailed history. just have to press hard enough. if a book doesn't give this to you, time to find another one.


gl

 

[moe777]

offshore betting is illegal,correcty if im wrong but i think that would mean you cant use against your legal winnings.

 

[Sun Tzu]

Moe you can use these "illegal activites" for your taxes.

In theory, though, you are admitting criminal activity in the event anyone ever cared to look into. Probably never happen but you never know. But you gotta pay taxes....thats where they will get you....from Al Capone to those laws about "stamps" on drugs...

But you also have to think big picture. If you are ever divorced, trying to adopt a child or get custody, are a party to a lawsuit, run for political office, whatever....it is a trail....

 

[moe777]

Moe you can use these "illegal activites" for your taxes.

In theory, though, you are admitting criminal activity in the event anyone ever cared to look into. Probably never happen but you never know. But you gotta pay taxes....thats where they will get you....from Al Capone to those laws about "stamps" on drugs...

But you also have to think big picture. If you are ever divorced, trying to adopt a child or get custody, are a party to a lawsuit, run for political office, whatever....it is a trail....

wow wouldnt have thought that.
ill keep that in mind if i ever hit the jackpot in caribean stud,but hopefully my future in gambling wil be like last years,in the black.

 

[Goose]

Thanks for the replies....

BDB---The offshore I was referring to was one of those that you mentioned. They wouldn't give me a win/loss for the year, but they did give me all of my deposits and withdrawals...which I am hoping will be enough.

Sun---As far as "illegal activity", wouldn't Uncle Sam EXPECT you to pay taxes on winnings from an offshore?? Granted, a book in Jamaica wouldn't hand over info to the IRS without a reason to do so.....but assuming you won a ton of money from a ridiculous parlay or something-----wouldn't you "have" to pay on that as winnings. They probably would never find out....but still, to sleep easy, shouldn't that be reported??? I guess I'm thinking if winnings SHOULD be reported, losses SHOULD be permissible as well? :shrug: