Regnis, yes, the pay table on the screens says nothing about "to 1" and just list the pays for the number of coins in. Does that, by itself, mean that players are being cheated as far as taxable amounts are involved? If a pro gambler has 1,000 W2Gs in the course of a year at a $5 machine... that would be $25,000 of reported taxable wins that perhaps should not have been reported.
Not a pro gambler only, any gambler, like me.Quote:
Originally Posted by Alan Mendelson
I have 3 W2Gs in the last 8 months and the one from last year
($4500 slot win thank you) cost me about $300 over that day to get it and included my $3 bet.
So my winnings actually were $4.497 but the W2G says $4500
It was reported as a net win for that day of only about $4200 in my gambling tax book I keep and I give a copy to the IRS with my tax return (IRS says to do this)
You claim the winnings from the W2G as income but IF you itemize you can also deduct your losses and the amount of your bet included in the net winnings up to your winnings.
IRS knows you have to put some of your own money in a slot machine to win (excludes free slot play)
The IRS wants you to keep a dairy of your days wins and losses and report them but you can only do this if you itemize your deductions.
Of course, if you do not itemize, the IRS rules and the slot machine rules by casinos that include your returned winning wager as income, you are screwed money wise.
I would think that a table game jackpot and a slot machine jackpot could be reported differently as winnings on a W2G because they are treated as being different.
I bet you can call the casino where this happened and they will tell you how they do this for table games and slot machines. But another casino might do it differently too.
some good reading here
gambling taxes and reporting
as on the IRS website
Sally
It says neither 800 to 1 nor 800 for 1, of course. Just 800. We don't agree on this, but I'm just going from common industry terminology and more importantly, from info I've read on the IGT website and my discussions with them and others over the years. Nothing and nobody has ever referred to a machine's pay back as "for 1". It's always been "to 1". More important is the W2G amount. That HAS to be issued for the gross amount of the win. It is in vp. On that craps bet, if the stated odds are 1000, then you cannot subtract the $5 bet from the issue amount. If they're issuing $4995 W2G's, then the odds have to be 999:1. BTW while researching this online, I've found where $5000 tax forms have been issued for this fire bet thing too.Quote:
Originally Posted by regnis