No. Gambling losses do not offset gambling winnings one for one. Gambling losses are an itemized deduction only. Itemized deductions provide no tax benefit until all of them added together are more than your standard deduction. Once your itemized deductions exceed your standard deduction, then each additional dollar of deduction reduces your tax by the percentage of your tax bracket. For example, if you are in the 25% marginal tax bracket, each additional dollar of deduction reduces your tax by 25 cents.