Yes. I am talking about itemized deductions. If I have $100,000 in W2Gs, but only $10,000 in winning sessions and $150,000 in total losing sessions, what i would report is $10,000 in income and $10,000 in itemized deduction (since I can't deduct more losses than my session wins). So the $100k in W2Gs becomes irrelevant, due to the session method. If I report $100k in W2Gs, I would have to pay state income tax to Wisconsin on $100k, since my $150k in losses can't be used as a deduction in Wisconsin. When really I only owe taxes on my $10k winning sessions.
Since I report the winning sessions as "other income" my W2G amount won't match what the IRS has. In order to prevent an audit, I was told to add verbiage on the "other income" line that states I elected to report using the Session Method.
Again, I'm looking for TurboTax to actually enhance their product so that I don't have to spend countless hours researching it (like I had to do with this).
