A reworded question.
I had a question about paying estimated taxes after I won a hand pay on a slot machine last week, but I worded it wrong. They did not give me a W2-G nor withhold taxes. My question is, should I pay the taxes right away as estimated taxes, or can I wait till the end of this year? The lady said I would receive a W2-G next week. Also since it was in Nevada, and I don’t live there will I need to pay Nevada taxes for 2024?
Also why do I have to enter gambling losses when in the end I’ll take the personal deduction?
It may be a good idea to pay taxes now rather that wait until the end of the year. If you owe more than $1,000 when you file your federal income taxes next year you may be subject to a penalty for late payment of tax. This is unlikely, however, if your income outside of the gambling winnings is similar to what you had last year and you normally get a refund of taxes. This is so since you are only required to pay in for withholding or estimated tax purposes 100% of the tax you had in the previous year on timely basis in the current year, assuming your adjusted gross income is less than $75,000 (single filer) or $150,000 (married filing joint). Otherwise, you need to pay in 110% of your income tax from the previous year.
You don't have to pay any state income tax to Nevada since they don't have a state income tax on individuals.
I think you mean you take the standard deduction so why is it necessary to report your gambling losses? You are correct, you can't deduct the gambling losses if you don't itemize your deductions. TurboTax doesn't know what your gambling losses are so you need to enter them to see if the amount is enough to allow you to benefit from itemizing your deductions. Also, sometimes you can get a benefit on your state tax return for deductions that are not beneficial on your federal tax return.
It may be a good idea to pay taxes now rather that wait until the end of the year. If you owe more than $1,000 when you file your federal income taxes next year you may be subject to a penalty for late payment of tax. This is unlikely, however, if your income outside of the gambling winnings is similar to what you had last year and you normally get a refund of taxes. This is so since you are only required to pay in for withholding or estimated tax purposes 100% of the tax you had in the previous year on timely basis in the current year, assuming your adjusted gross income is less than $75,000 (single filer) or $150,000 (married filing joint). Otherwise, you need to pay in 110% of your income tax from the previous year.
You don't have to pay any state income tax to Nevada since they don't have a state income tax on individuals.
I think you mean you take the standard deduction so why is it necessary to report your gambling losses? You are correct, you can't deduct the gambling losses if you don't itemize your deductions. TurboTax doesn't know what your gambling losses are so you need to enter them to see if the amount is enough to allow you to benefit from itemizing your deductions. Also, sometimes you can get a benefit on your state tax return for deductions that are not beneficial on your federal tax return.