Um.....I'm pretty sure you can't take gambling losses as a business expense. Were you 'required' to gamble during the shop, and not reimbursed for the 'minimum' amount that you were 'required' to gamble?
Oh I wasn't going to take them as a business expense, they are a personal expense. I was just wondering if I should keep a record separate from my win/loss sheet the casino provides. And yes I was 'required' to gamble.
OK....if you are required to gamble, and you are not reimbursed for any minimum required gambling, then I would think that would definitely be a business expense. If you were reimbursed for the minimum amount and you lost more than you were required to gamble, then it would be a personal loss and not a business expense.
You should definitely keep a separate record for your business expenses and personal expenses, although I'm not a big fan of really detailed personal tracking.
My dorky husband uses Quicken, and has cracked the programming and subdivided categories. He has his expenses going back for many years broken down into ridiculously detailed line items....including 'dating expenses' that have a line item for every gal he dated since he started tracking. I am the last entry in that little party....but it irritates me that the line items are all still there 14 years later. He tracks every time we stop at McD's and buy a soda, too. That's irritating, too.
Keep track of everything! If it is not needed, ok! I don't know if I can tell you what I use or not because I can get a referral amount off my bill. If I am aloud I would love to share it. It is approved by the IRS and it works great. I do almost nothing and the company does it all. I like that.
My understanding (I'm not a gambler) is that you cannot deduct net gambling losses over the tax year. However, if you have net gambling winnings, you must report it as income. If you are required to gamble as part of a shop, then you should be able to deduct the required amount as business expense.
It's like fine dining shops. You deduct the amount you spend that's reimbursed, but whatever you spend beyond the reimbursement limit is not deductible.
I'm not a lawyer or accountant, just a small biz person, so verify anything above that you use.
You can only deduct gambling losses from your gambling winnings. The casino will be able to provide you a win-loss statement. You would have received a 1099 at the time you won above a certain threshold. If you did, you can then deduct your losses from the amount you won.
I wouldn't want to try to explain to an IRS agent that I was required to gamble for my job. That would be an interesting conversation though!
Shopping since 1995; full-time since 2009. Blogging about shopping on www.myfrugalmiser.com.
If you have gambling winnings you must report it. But, you must spend money in order to win the money. Keep track of that. You can deduct the gambling expenses from your winnings as long as you have proof. Example: you gamble on lottery tickets all year. You buy 7.00 a week in tickets. Then you win 1000. you can deduct all of the price of the tickets all year long toward the winnings as long as you have the old tickets to show that you purchased them. Just a vague example. I have not done a gambling shop so I cannot mention it in those terms.
> If you have gambling winnings you must report it.
> But, you must spend money in order to win the
> money. Keep track of that. You can deduct the
> gambling expenses from your winnings as long as
> you have proof. Example: you gamble on lottery
> tickets all year. You buy 7.00 a week in tickets.
> Then you win 1000. you can deduct all of the price
> of the tickets all year long toward the winnings
> as long as you have the old tickets to show that
> you purchased them. Just a vague example. I have
> not done a gambling shop so I cannot mention it in
> those terms.
If the slot machine pays $1,199 jackpot, you don't have to report it. When it hits $1,200, you do.
When you pocket $600 or more (and that amount is 300 times your bet) at a horse track, win $1,200 at a slot machine or bingo game, or take $1,500-plus in keno winnings, the payer must get your Social Security number and let the IRS know you came into the extra income.
Most MSCs require shoppers to use some sort of players card which records all activity.
Equal rights for others does not mean fewer rights for you. It's not pie.
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My memory is that gambling losses may be deducted from gambling winnings to arrive at net gambling gain, which is reportable and taxable. Gambling losses cannot be deducted as a separate item. They are not considered a loss for tax purposes and may only be used to calculate net winnings.
Mary Davis Nowell. Based close to Fort Worth. Shopping Interstate 20 east and west, Interstate 35 north and south.