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A Couple Poker Tax Clarifications..

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  1. Do_Wha Do_Wha is offline

    Philadelphia, PA
    United States

    Posts: 194
    Joined: Oct 07

    Mar 16th, 2008 (3/16/2008 1:53pm)

    I have two questions regarding how to record/sum winnings and losses.

    First, lets say a tournament costs $50, and I place ITM and I get $200 for xth position. Does this count as $50 in losses and $200 in winnings? Or, is it just $150 in winnings? I ask about the netting because in my mind its different for tournament play than cash, but maybe not?

    Second, I play a home game at college with some pals and the buyin is $10 and 2nd place gets back $10, how is this recorded?

    Basically, is it no-ITM means a loss, and ITM means you punch in one for the winnings, or does every buy-in go into losses regardless of outcome?
  2. LeFlyingRat LeFlyingRat is offline

    Repentigny
    Canada

    Posts: 3,167
    Joined: Dec 06

    Mar 16th, 2008 (3/16/2008 1:55pm) in reply to Do_Wha

    » Tax Q&A
  3. Do_Wha Do_Wha is offline

    Philadelphia, PA
    United States

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    Mar 16th, 2008 (3/16/2008 2:06pm) in reply to LeFlyingRat

    I read it buddy, I really don't see where it distinguishes tournaments from cash games in the manner im asking about, if its really there, im sorry

    EDIT: maybe im just going too far should it all be session based and not on the individual tourney? that makes more sense to me.. I guess.
    Thread Starter
  4. xTEDFORRESTx xTEDFORRESTx is offline

    Bucharest
    Romania

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    Mar 16th, 2008 (3/16/2008 2:12pm) in reply to Do_Wha

    lets say a tournament costs $50, and I place ITM and I get $200 for xth position.

    $200 income, $50 cost
    (notice your exact words: "I get $200 for xth position", that is income. "a tournament costs $50", that is your cost).

    buyin is $10 and 2nd place gets back $10, how is this recorded?

    $10 income, $10 cost
    (although being a home game, and since it is a wash, you are probably safe not recording anything).
  5. SowersUNCC SowersUNCC is offline

    Westlake Village, CA
    United States

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    Mar 16th, 2008 (3/16/2008 2:17pm) in reply to xTEDFORRESTx

    Why record anything that is cash and never traceable?
     
  6. Rocket Surgeon Rocket Surgeon is offline & brain scientist

    United States

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    Mar 16th, 2008 (3/16/2008 2:19pm) in reply to SowersUNCC

    In case you are ever on Moment of Truth and are asked "did you fail to record cash transactions that were never traceable?"
  7. Do_Wha Do_Wha is offline

    Philadelphia, PA
    United States

    Posts: 194
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    Mar 16th, 2008 (3/16/2008 2:21pm) in reply to SowersUNCC

    thnx much ted, and good point sowers -- but withdrawing from online is traceable right? I mean i withdraw by check, so that much needs to be recorded?
    Thread Starter
  8. xTEDFORRESTx xTEDFORRESTx is offline

    Bucharest
    Romania

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    Mar 16th, 2008 (3/16/2008 2:21pm) in reply to SowersUNCC

    because once you spend cash to buy some big ticket items, put cash in a bank, or invest cash in stocks, and generally have no source for a big chunk of your income, it starts raising questions.

    And cashing out online by check LOL you are the exact opposite definition of "untraceable".
    A check is a financial document that the banks keep a record of for 7 years (ten years if you cash at a check cashing place) and the check is run thru the federal reserve system and recorded when it clears. ATM transactions, of course, are already recorded on computer databases with no further effort required from the FED. (Multiple ATM transactions at close time intervals is a flag for SAR reporting, for one.)
  9. tcb21 tcb21 is offline

    IA
    United States

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    Mar 16th, 2008 (3/16/2008 6:18pm) in reply to xTEDFORRESTx

    I don't know how many big ticket items you will be able to buy with winnings from a $10 home game. You're probably fine not recording those
     
  10. BatMan88 BatMan88 is offline

    United States

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    Mar 16th, 2008 (3/16/2008 6:47pm) in reply to tcb21

    We need a fucin HR block thread
  11. Hoobangin Hoobangin is offline

    Canada

    Posts: 1,767
    Joined: Feb 07

    Mar 16th, 2008 (3/16/2008 6:55pm) in reply to BatMan88

    If you ever get questioned just say you lost all your profits back to the casino and you are in debt to other people and shit. They can't really do shit if you say that, plus if you lost in a casino they are getting the $ anyways and that is all they really give a shit about... In other words fuck taxes, well not completely but definitely don't claim everything, maybe claim 20% of your actual profits to keep them off your back.
     
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