College student, made ~900 work study, plus 5k sportsbetting. Can I file a 1040 for the study funds and report the 5k as other income, rather than file as self-emp.?

[boo_ster]

I haven't spent money on additional betting tools, so I don't think filing as self-employed would be much benefit. But since I made more here than I did doing work study, it seems strange to report the betting earnings as "other income." I don't know what the appropriate and most beneficial procedure is.

[Bsch4477]

You are being off reporting the gambling income as other income since if you reported it as a professional gambler (which I assume you are not) you would have to pay self employment tax in addition to ordinary income tax on those earnings. 

[Frederick Oberlader]

Whether you are a professional gambler in any year is a matter of fact and crcumstance beyond the scope of this answer. If you are, you report on Schedule C and can take various deductions such as the costs of your betting, and you will be able to have an IRA for up to $6000 and 401s and so on against your net income from the gambling (the $900 qualifies for IRA anyway). The net present value of a 50 year deferral of taxation is enormous, well justifying FICA tax, which I think you wouldn't have to pay anyway as just a $1200 IRA contribution would generate a tax credit wiping out the FICA tax I believe. Please note that while I am a tax lawyer this is not tax advice and there is no actual or prospective attorney client relationship between us.