topic tax on casino winnings in After you file

tax on casino winnings

petesdomain — Tue, 14 Jul 2020 20:19:07 GMT

Before I added my Casino w2g winnings, a total of 5 w2g's adding up to 11K, I was scheduled for a 2K return based on my yearly salary earnings with no other deductions besides the standard. I selected the opiton that I had 11K in losses. Now I owe 500 instead of receiving 2K. I thought my losses would offset my winnings, it seems to have cost me 2.5K.

Re: tax on casino winnings

xmasbaby0 — Tue, 14 Jul 2020 20:29:57 GMT

I think that big refund on the refund monitor was an illusion you saw on the screen, based on not hitting continue or next or whatever before you entered the losses. Were you really expecting 11K of untaxed income not to affect your tax due or refund?

But go back to it and remove the losses to see for yourself.

Gambling

To enter the W-2G or other documents For your Gambling winnings--Go to Federal>Wages & Income>Less Common Income>Gambling Winnings

You can enter your winnings, and then keep clicking through the interview to enter gambling losses.

https://www.irs.gov/help/ita/how-do-i-claim-my-gambling-winnings-and-or-losses

Gambling winnings are taxable income. Losses are an itemized deduction. If you do not have enough itemized deductions to exceed your standard deduction, your losses will have no effect.

https://blog.turbotax.intuit.com/income-and-investments/how-are-gambling-winnings-taxed-8891/

https://ttlc.intuit.com/questions/1900352-can-i-deduct-my-gambling-losses

2019 Standard Deduction Amounts

Single $12,200 (+ $1650 65 or older)

Married Filing Separate $12,200 (+ $1300 if 65 or older)

Married Filing Jointly $24,400 (+ $1300 for each spouse 65 or older)

Head of Household $18,350 (+ $1650 for 65 or older)

Re: tax on casino winnings

Anonymous — Tue, 14 Jul 2020 20:32:50 GMT

gambling losses are only deductible as an itemized deduction on Schedule A and can't exceed gambling winnings. in addition your itemized deductions must exceed your standard deduction to get any benefit.