Now that tax season has passed, we at Kondler CPA wanted to share some tips on how to treat 2014 in order to be better equipped for your tax preparation in 2015. Even if you have not filed taxes in the past, it is never too late to take the proper steps to organize yourself for next year’s deadline. Here are some ways you can help yourself throughout the year:

Track Your Play – Purchase a poker app or create a spreadsheet that lists where you played, when you played, the type of game you played, buy-in and cashout amounts, and total amount won or lost. You should also track the amount of income or loss from other gambling activities (sports betting, table games, slots, etc.) and backing arrangements.

In addition to tracking your income and loss, professional players should track the expenses incurred that were related to poker, as they can be taken as a deduction on your return. Even if you do not plan to file as a professional, it is still good practice to keep track of your receipts and expenses in the event you change your filing status during the year.

Send in Estimated Tax Payments (professionals only) – At the end of each quarter, you should be reviewing the amount you won or lost in order to determine if you need to make a quarterly tax payment. If you were not profitable during a quarter, you are not required to send in any estimated taxes, as you did not generate income during that time. However, if you have a profitable quarter, you should be sending a portion of the money to the IRS in order to avoid paying a penalty at the end of the year.

Save All Documentation – If you cash in a tournament and a casino gives you Form W-2G or Form 1099, make sure you keep a copy for your records. The IRS is sent a copy of these forms as well, so they know the total amount you won and will make sure the amount you claimed from W-2G winnings ties to the amount they have on file.

In addition to W-2Gs and 1099s, keep as many receipts as possible from buy-ins and poker-related expenses. Keeping organized receipts can help you recreate a trip if you did not log your expenses at the end of the year.

Stay Informed – If you find yourself in a situation where you are unsure of the best course of action, contact someone who is familiar with the case. Make sure the guidance you are relying on is correct so you are not surprised at the end of the year when someone informs you differently. We have had many players contact us about their current situation and have helped them make decisions about the future that best suited their needs.

Kondler & Associates, CPAs is a full-service accounting and financial consulting firm with locations in Las Vegas, Nevada and Atlantic City, New Jersey. The firm, led by President and Owner Ray Kondler, CPA, specializes in individual and corporate tax preparation and has developed a thorough understanding within the gaming industry over the past 10 years. This has translated into a practiced understanding of the industry and exposure to diverse gaming taxation scenarios. Visit PokerTaxSavings.com for more details or call 702-433-7075.