Unfortunately, the IRS has a different viewpoint. Many individuals believe that they only have to report the winnings for which they receive a Form W2-G. Win $600 or more from all other games, but only if the payout is at least 300 times your wager.Win more than $5,000 in a poker tournament.Win $1,200 or more on a slot machine or from bingo.Gambling establishments will issue a Form W-2G if you: If your winnings at one time hit certain levels, the government requires the gambling establishment to collect your Social Security number and report your winnings to Uncle Sam on a Form W-2G. For most gamblers, their losses for the year will exceed their winnings, and since losses in excess of winnings are not deductible, most gamblers don’t bother to report either, which isn’t in line with the tax law’s filing requirements.
For virtually everyone, gambling is a recreational activity and, as such, is done for fun. Gambling takes many forms: casino games, horse racing, sports book betting, lotto tickets, scratchers, bingo, etc.
