New casino laws take effect January 1, 2026

[Shells]

As a result of passing the Big Beautiful Bill in the US, new laws have come into effect on January 1 for casino patrons in the US.

First, slot machine players winning $2,000 or less will not be required to fill out a W-2G form for their winnings. However, this will not take effect in all states just yet. Before this change, winners would have to fill out a W-2G form for $1,200 or more.

Another change in gambling laws is that deductions of gambling losses against winnings will be capped at 90%. For example, if someone wins $100,000 playing slots, table games, the lottery or any other form of gambling, they can only deduct 90% of their losses. That means a gambler who wins $100K playing slots, table games, the lottery, betting on sports, or any other form of gambling can only deduct up to 90% of their losses against their winnings. For example, if a person wins $100K but also loses $100K gambling during a year, they would still need to pay federal taxes on $10K.

More details found here on Casino.org>>> The Latest on Gambling Tax Law Changes That Became Effective Jan. 1, 2026

Will these changes affect you?

 

[Marcwantstowin]

Damn Shell - It seems like another cost, everything we do is all a plus side for the taxman.

Not affecting us in the UK yet, but with the idiot we have in charge, it won't be long, cos they are taxing everything else to within an inch of its life,

 

[Shells]

Damn Shell - It seems like another cost, everything we do is all a plus side for the taxman.

Not affecting us in the UK yet, but with the idiot we have in charge, it won't be long, cos they are taxing everything else to within an inch of its life,

Yes, you know the phrase that Ben Franklin coined... “in this world nothing can be said to be certain, except death and taxes.”

 

[lovemiscou]

Hey Shell, where do you get your info on taxes? I have a question on taxes for canadiens, i was wondering if i could deduct my 2 or 3 trips a year to the playground in Montreal. Do you know where i could find some info on this? Jaimie Staples a canadien pro was talking about that on his stream a few years ago, but didn t go into details about it. If anyone else has some info on this, i would like to know about it.

 

[najisami]

Will these changes affect you?

I have seen one of YouTube creators talking about it and emphasizing on the fact that many professionals are very upset. He even showed a few clips of Phil Helmuth and others kind of going nuts!
Thankfully it's not affecting me at the moment as I'm not in the US anymore, but the government here started putting its nose into gambling and poker sites lately. pokerstars is already gone (Last August) due to some "Tax" discrepancy, and we don't know what the future will bring.

 

[Antonio777]

As a result of passing the Big Beautiful Bill in the US, new laws have come into effect on January 1 for casino patrons in the US.

First, slot machine players winning $2,000 or less will not be required to fill out a W-2G form for their winnings. However, this will not take effect in all states just yet. Before this change, winners would have to fill out a W-2G form for $1,200 or more.

Another change in gambling laws is that deductions of gambling losses against winnings will be capped at 90%. For example, if someone wins $100,000 playing slots, table games, the lottery or any other form of gambling, they can only deduct 90% of their losses. That means a gambler who wins $100K playing slots, table games, the lottery, betting on sports, or any other form of gambling can only deduct up to 90% of their losses against their winnings. For example, if a person wins $100K but also loses $100K gambling during a year, they would still need to pay federal taxes on $10K.

More details found here on Casino.org>>> The Latest on Gambling Tax Law Changes That Became Effective Jan. 1, 2026

Will these changes affect you?

That "Big Beautiful Bill" is widely known to us common folks as "Big Ugliest Bill Ever" . 😂. What is outlined in your message here is a drop in the bucket of hurtful things lurking in this new Law. Holding back on any political statement any further than this new Bill.

If you win a 100K , and lose 100K and pay taxes, you may as well say that you lost 110K if I'm reading this correctly.

Peace
Tony

 

[Shells]

Hey Shell, where do you get your info on taxes? I have a question on taxes for canadiens, i was wondering if i could deduct my 2 or 3 trips a year to the playground in Montreal. Do you know where i could find some info on this? Jaimie Staples a canadien pro was talking about that on his stream a few years ago, but didn t go into details about it. If anyone else has some info on this, i would like to know about it.

I will see what I can find, Rick and get back to you. 😊
(might be a couple hours before I get back to you but did find some info 😊)

 

[moots]

Hey Shell, where do you get your info on taxes? I have a question on taxes for canadiens, i was wondering if i could deduct my 2 or 3 trips a year to the playground in Montreal. Do you know where i could find some info on this? Jaimie Staples a canadien pro was talking about that on his stream a few years ago, but didn t go into details about it. If anyone else has some info on this, i would like to know about it.

Are you a professional poker player?

 

[Shells]

Hey Shell, where do you get your info on taxes? I have a question on taxes for canadiens, i was wondering if i could deduct my 2 or 3 trips a year to the playground in Montreal. Do you know where i could find some info on this? Jaimie Staples a canadien pro was talking about that on his stream a few years ago, but didn t go into details about it. If anyone else has some info on this, i would like to know about it.

The basic information I have found regarding taxes on poker winnings in canada for Canadians is this:

• Casual Players: Winnings are tax-free, and losses are not deductible.
• Professional Players: Winnings are reported as business income on a T1 tax return. They can deduct reasonable gambling-related expenses (losses, entry fees, software, travel) against that income.
• Investment Income: Any interest or investment income generated from depositing or investing poker winnings is always taxable.
• Winnings in the U.S.A.: The U.S. government typically withholds a 30% tax on gambling winnings from Canadians. If you are a professional in Canada, you can claim a foreign tax credit to avoid double taxation by using the Canada-U.S. Tax Treaty.

Hopefully, this explains a bit for you.

 

[lovemiscou]

Thanks for the info Shell, I will look into what it takes to become a semi-pro, other then winning a big event. For the 30% in the US, I donated some money to trump last year in Tampa after a small tournament cash, luckely you dont have to pay taxes on cash games win in US.

 

[ankurdholakiya]

This whole discussion really shows how complicated gambling laws have become everywhere, not just in the U.S. or Canada. Between different thresholds, withholding rules, and how each country defines “professional” vs casual play, it’s easy for players to assume something is allowed or tax-free when it actually isn’t — or the opposite.

And in some places it goes way beyond taxes. For example, poker is completely banned in parts of india, so players don’t even get to worry about winnings or deductions — the game itself is off-limits.

Kind of reinforces the point that anyone who plays regularly or travels to gamble really needs to stay informed. Laws change fast, and governments always find different ways to control or regulate gambling.

 

[lovemiscou]

For Canadiens who are interested, to be classified has a pro to revenue Canada, you need to earn a living with poker and it should be run like a buisiness. So after reading that, I tought , shit i will never be able to become a pro and got back to playing poker online. Then i got a brilliant idee, what if i told revenue Canada that i run my poker buisiness like they run the country, with a deficit every year! So what do you people think? Any lawyer in the house that could tell me if i have a case.

 

[moots]

This whole discussion really shows how complicated gambling laws have become everywhere, not just in the U.S. or Canada. Between different thresholds, withholding rules, and how each country defines “professional” vs casual play, it’s easy for players to assume something is allowed or tax-free when it actually isn’t — or the opposite.

And in some places it goes way beyond taxes. For example, poker is completely banned in parts of India, so players don’t even get to worry about winnings or deductions — the game itself is off-limits.

Kind of reinforces the point that anyone who plays regularly or travels to gamble really needs to stay informed. Laws change fast, and governments always find different ways to control or regulate gambling.

In Canada it's easy. Recreational players don't pay taxes on lotteries, sports betting, poker, or casino games. So obviously, if you don't pay taxes on something, you can't make any deductions.

 

[TeUnit]

The new usa tax regs will really hurt a large portion of professional gamblers.

 

[Alpha737]

Since I’m based in India, these changes won’t affect me directly from a tax perspective — but they’re still very interesting to follow as a poker player.
What really stands out is the 90% cap on deducting losses. That’s a big shift. Even a breakeven or small-edge player in the US could now owe taxes despite not actually being profitable overall. That changes bankroll management, game selection, and even how people track sessions. Variance just got more expensive.
The higher W-2G threshold for slots is player-friendly on paper, but the loss-deduction cap feels like a clear negative for serious grinders.
It’s a good reminder that poker isn’t just about EV at the table — tax rules matter, and they can quietly turn a winning year into a losing one.

 

[Sunz of Beaches]

That sounds incredible awful. Loosing 100 thousand at slots and winning 100 thousand and then you still have to pay 10 percent in taxes? Makes absolutely no sense to me honestly.

 

[Debi]

I love the new cap on slots winnings! $1200 was too low.