Reporting Gambling Winnings

[blackjack2023]

Hello,

I received a Win/Loss Tax Statement from a casino. For Slots it states my Coin-Out totaled $16,471 and my Coin-In totaled $17,864. It states my Slot Win/Loss is -$1,393. 

To report this on my tax return, are my gambling winnings considered $16,471 and my gambling losses $17,864? Or do I only have a gambling loss of $1,393?

Thank you for your help!

[Bsch4477]

Report your winnings which will be income. You can only deduct losses equal or less than your winnings and only if you itemize. 

[DoninGA]

Gambling losses can only be deducted up to the amount of the gambling winnings. Gambling winnings are reported on Form 1040 Schedule 1 on Line 8 as Other Income. Gambling Losses are reported on Form 1040 Schedule A as a Miscellaneous itemized deduction. Gambling losses are not a one-for-one reduction in winnings. Your total itemized deductions reported on Form 1040 Schedule A must be greater than the standard deduction for your filing status to have any tax benefit.

To enter, edit or delete Gambling Winnings and Losses -

Click on Federal Taxes (Personal using Home and Business)
Click on Wages and Income (Personal Income using Home and Business)
Click on I'll choose what I work on (if shown)
Scroll down to Less Common Income
On Gambling Winnings, click the start or update button

Or enter w2g in the Search box in the upper right of the program screen. Click on Jump to w2g

[blackjack2023]

Got it. So let me know if this sounds right - I will report the $16k as income, and then I can deduct $16k as a loss if I itemize?

[AnnetteB6]

That is correct.  The winnings must be reported as income and the losses up to the same amount as your winning may be deducted as part of Schedule A itemized deductions.

Entering your gambling losses is a part of the same input section where you enter your gambling winnings.  After you have entered the details from your W2-G, there will be a follow-up screen that recaps your total winnings and allows you to enter your losses.  

To learn more, take a look at the following TurboTax article:

Can You Claim Gambling Losses on Your Taxes?

@blackjack2023 

[samuelsahawneh]

Why can't I deduct losses greater than my winnings? 

[DoninGA]

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@samuelsahawneh wrote:

Why can't I deduct losses greater than my winnings? 

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Because that is how the tax code is written when reporting gambling income and losses.