Lottery.....claiming your losses
May 14th, 2012 at 5:43:04 PM
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As usual, I get two different versions of the truth. Maybe somebody can give their input. I have a buddy who won $350,000 in the states lottery a couple years ago.
He said (not sure I believe him) he was able to claim losses such as.....all his losses on the horses, dogs, casino etc., all with proof (of course) for his tax guy. I do understand you can claim the losses on lottery tickets if you won the lottery, I get that part but HOW can unrelated forms of gambling be grouped together like that? What does horse racing have to do with the lottery? Yes I understand that different states may have different laws/rules. Does all this sound correct? Just curious.
Ken
He said (not sure I believe him) he was able to claim losses such as.....all his losses on the horses, dogs, casino etc., all with proof (of course) for his tax guy. I do understand you can claim the losses on lottery tickets if you won the lottery, I get that part but HOW can unrelated forms of gambling be grouped together like that? What does horse racing have to do with the lottery? Yes I understand that different states may have different laws/rules. Does all this sound correct? Just curious.
Ken
May 14th, 2012 at 5:48:10 PM
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Quote: mrjjjAs usual, I get two different versions of the truth. Maybe somebody can give their input. I have a buddy who won $350,000 in the states lottery a couple years ago.
He said (not sure I believe him) he was able to claim losses such as.....all his losses on the horses, dogs, casino etc., all with proof (of course) for his tax guy. I do understand you can claim the losses on lottery tickets if you won the lottery, I get that part but HOW can unrelated forms of gambling be grouped together like that? What does horse racing have to do with the lottery? Yes I understand that different states may have different laws/rules. Does all this sound correct? Just curious.
Ken
Pretty sure that is correct at the federal level. You are supposed to report your gambling winnings, and you are allowed to deduct your gambling losses as long as they are not more than your winnings. So all types of gambling go into the same bucket. But you have to itemize deductions to take off the losses and winnings are supposed to be reported no matter what. just one of the ways the gambling tax laws are eff'd up.
"So drink gamble eat f***, because one day you will be dust." -ontariodealer
May 14th, 2012 at 5:49:49 PM
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It is legit. You can claim all gambling losses up to the amount you won. But, you also must itemize to get this benefit, which I disagree with.
I heart Crystal Math.
May 14th, 2012 at 6:37:58 PM
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Even if you did itemize and deduct it, your AGI remains high and may disqualify you for such things as Pell Grants, student loans, etc.
May 15th, 2012 at 4:58:13 AM
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It's legit.
Any type of gambling loss can ofset any type of gambling win, within the same year. And, yeah, you'll need to be able to prove it.
Any type of gambling loss can ofset any type of gambling win, within the same year. And, yeah, you'll need to be able to prove it.
I invented a few casino games. Info:
http://www.DaveMillerGaming.com/ —————————————————————————————————————
Superstitions are silly, childish, irrational rituals, born out of fear of the unknown. But how much does it cost to knock on wood? 😁
