Reply to thread

Message

[QUOTE="kaiWalk, post: 902814, member: 24918"]
I am unaware of the LIPS Championship, but I would closely scrutinize any paperwork you have.

Regarding the taxes on the bounty, it's the same as poker winnings (presumably).

I'm going from memory so definitely research this further, but current IRS rules require a W2-G anytime poker winnings exceed $600.  The one out that you have, is that prize valuations typically use rack rates and full fare airline prices to ensure that they have no liability for under-reporting to the IRS.

Take the prize info and have three different travel agents quote you prices for the same trip.  Since the total value is only $50 over the IRS threshold, I'm sure you will get a consensus value below the taxable amount.

Regardless, you'll need a CPA for your taxes this year.

Alternatively, if this $650 is your only reported gambling income, it may end up being cheaper to pay Uncle Sam, then it is to pay a CPA.  Even at a 30% tax bracket, the taxes are less than $200.
[/QUOTE]

Verification

Search

Reply to thread

About CardsChat

Our Community

Our Site

Follow us