I was just listening to the most recent GWAE radio show and learned that we need to file a Foreign Bank and Financial Accounts (FBAR) form with the IRS for any money we have sitting in any offshore sports or gaming accounts. I had no idea it was required. This is not for winnings, but any funds sitting in the accounts.
Bob, thank you that was a very good show.
I think requiring it for all accounts is a relatively new thing. When I had a Channel Islands account in the late 1980s (mainly so I could write checks in British currency without paying the exorbitant fees the local banks wanted - that's my story and I'm sticking to it, mainly because it's true), I was told that I only had to file IRS forms if the total amount exceeded US$10,000.
I know a couple of US citizens that live overseas (they're married to foreign nationals) who are not happy about the hoops they have to jump through now just because they have checking accounts in non-US banks.
Yes you need to file it to IRS otherwise you would be taxed more. Any money that you own must filed even it's not from your gambling activities. It's in the law and we need to follow it.