2007-02-05 09:03:16 · 7 answers · asked by Anonymous in Business & Finance ➔ Taxes ➔ United States
Yep, you will need to report it as income. But you also report the taxes you have paid. So if you paid enough in taxes you shouldn't have to pay any additional.
2007-02-05 09:06:15 · answer #1 · answered by Anonymous · 2⤊ 0⤋
Yes you do need to claim. The reason is that the tax return is a calculation of how much tax you owe during the year, and then how much tax you paid. The result is you paid too much tax (REFUND) or you did not pay enough (you OWE).
The gambling winnings do go on your 1040 as part of your income, but you can also deduct your gambling losses UP TO THE AMOUNT OF YOUR WINNINGS on Schedule A and thereby avoid tax.
The taxes you already paid go on Page 2 of your 1040 as a reduction of tax owed.
2007-02-05 09:09:30 · answer #2 · answered by Anonymous · 1⤊ 0⤋
Yes, you need to report it as income, and also report the taxes you paid. You may get a refund, if you clain winning, then you also can claim losses upto the amount you won.
2007-02-05 09:56:16 · answer #3 · answered by Anonymous · 0⤊ 0⤋
Yes, you need to report it. You get a credit for the taxes that were withheld. It's treated exactly as W2 income is -- you claim the income and the withholdings.
2007-02-05 09:08:10 · answer #4 · answered by Bostonian In MO 7 · 1⤊ 0⤋
Yep you have to decare it and you also get to report the amount you had withheld.
They probably withheld 40% of your winnings. Depending on the tax bracket your winnings put you in, you could be getting money back from the IRS.
2007-02-05 09:06:45 · answer #5 · answered by Anonymous · 2⤊ 0⤋
Yes it counts as Gambling income. You may get most of it back. We won 15,000 and got back the 5,000 we had to pay between state and federal. They usually over tax you.
2007-02-05 09:07:01 · answer #6 · answered by pnutallergymom 3 · 1⤊ 1⤋
Be sure to save proof of your losing bets to deduct against your winnings.
2007-02-05 09:14:36 · answer #7 · answered by Edward K 5 · 1⤊ 0⤋