cashing out?

Discussion in 'Bankroll Management' started by lucky4688, Feb 12, 2010.

  1. eagledice, Dec 23, 2011

    eagledice

    eagledice Member

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    bek423

    I would not worry about getting a W2 G ( the gambling statement ) for $5000 and getting Audited. Just like you said, show the income and the losses to offset them and always keep documentation for 3 plus years. IRS does not generally audit for that kind of earnings. Lots of people win $5,000 - $15000 from slots, tables and various charitable contests. The only problem would be, in my opinion, winning $50,000 and then claiming $49000 in losses. If its legit, go for it. IF its dicey ( like the play on words ), hold your breath for 3 years.

    EagleDice
     
    #41
  2. bek423, Dec 23, 2011

    bek423

    bek423 Member

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    It is legit - I'm not someone who would tolerate holding my breath for 3 years. I just don't want to deal with the stress of an audit.
     
    #42
  3. basicstrategy777, Dec 23, 2011

    basicstrategy777

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    Having a wino cash in winning tickets at the track using his social always has worked ( give him a 100 bucks for his services).....and collecting those losing tickets everyone throws away and putting them in a shoe box has its purpose ( losses anyone ? ) At least I've heard.

    Who needs CPA's. to develope tax strategy's when 'old school' methods are available.

    777
     
    #43
  4. eagledice, Dec 23, 2011

    eagledice

    eagledice Member

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    bek423

    I did not intend to make you worry for 3 years. What you are doing is the way its supposed to be done. Don't give it a second thought. My example of the $50k with 49K in losses was not intended to you, but it was an example of what someone should not do if they were "pushing" there losses. If you gamble (weekly ? ) a lot and do win $50k it is not unreasonable to have losses that equal close to the winners.

    I know of one gal, who 2 years ago went to Las Vegas for 7 days with an $10,000 bankroll. Her winnings on Video Poker, with W2G's, was $46,000.00. Now remember she is comped everything. She came home with a bankroll of $14,000.00 So, based on her bankroll return, plus the Win/Loss statement from the casino, she put back into the Machines $42,000.00.

    My first question to her was " If you just hit $10,000 on a Video Poker machine why did you not leave the bar ( sitting having a cocktail) and go to the Pool or the Spa." She did not have an answer for that one.

    And we sweat $300 buyins!!!!!!


    EagleDice
     
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  5. eagledice, Dec 23, 2011

    eagledice

    eagledice Member

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    777

    I have also heard of some people who have the local convenience store give them all the loser's. Just remember one thing, if you win a lot of cash, make sure the "losing tickets" are dated "After" the money you won. Hate to think of someone spending a lot of cash "before" they won.

    I still love to hear about those 'old school' methods, that really don't ever happen............. or do they?


    EagleDice
     
    #45
  6. nineroller9, Dec 23, 2011

    nineroller9

    nineroller9 Member

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    Another often overlooked point -- casino comps are taxable based on the cash value of the benefit.
     
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  7. Greatest 7 Shooter in the World, Dec 23, 2011

    Greatest 7 Shooter in the World

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    My paperwork is based off when my appointment is and I like to just get it over with as fast as possible. I send over all my stuff and then work through it for a few days then about a week later all numbers are in and its check writing time. I could wait around until April 15th but I would rather just get it over with as soon as possible and filing early has no merit on getting audited or not. I just have to much to loose to mess around.

    I paid 30k last years and this year I made more and have at least 2 SAR forms that I know of and possible a 3rd thats why I estimate owing hopefully under 50k. It hurts just to say hopefully under 50k. what a F*cked up world we live in where a kid who used to collect and cash in aluminum cans is hoping to pay under 50k. WTF

    And on using loosing lottery tickets, track tickets and such from my first hand experience with those IRS bastards you having a receipt means nothing if you can't back it up with account withdrawls and a second layer of proof. Trust me the throw anything out that seems fishy and it's on you to prove to them not the other way around. Ask anyone who has ever been through the process before and they will tell you common sense gets thrown right out the window and you find out real quick they already have a number in there head on how much you are going to pay them and you have to fight like hell over some times years to get a ruling reversed and actually get to use the deduction and get your money back.

    I hope none of you guys have to go through it because if you have anything to loose you really can start envisioning it gone all because a jr. accountant out of college making $15hr. can destroy everything you have worked for in a blink of a eye and a stroke of the keyboard on the button that says "freeze accounts"
     
    #47
  8. $nakeEye$, Dec 23, 2011

    $nakeEye$

    $nakeEye$ Member

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    EagleDice -

    There is something wrong with your statement -

    Let us say for the sake of conversation that from Jan. 1 thru Dec 31 - I spend $10 a day buying lottery tickets -

    That is $3,650.- for the entire year -

    I have one winner for $10,000 on Dec.31 -

    According to your above statement I can not deduct the $3,640.- that I lost all year long - from my one win on the last day of the tax year ?

    I think you need to revisit your statement !
     
    #48
  9. basicstrategy777, Dec 23, 2011

    basicstrategy777

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    That is not what he said. You mis-interpreted what he said.

    777
     
    #49
  10. eagledice, Dec 23, 2011

    eagledice

    eagledice Member

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    You are right on that point as I should have clarified myself better.

    What I was trying to get across is the guy who carelessly gets spent lottery tickets or any type of used gambling betting ticket. The majority of his used tickets are before his large win and his is not really in a position or has the available cash to spend a great deal of money gambling to make up for his spent tickets.

    I never thought of your example as someone who would be able to deduct his $3650 losses up to and equal the winnings. There are lots of individuals who do the daily lottery either individually or in a group and save all losses. The same with the guys who go to the track several times a day and save there losers.

    Next time I will be a little clearer.


    EagleDice
     
    #50
  11. $nakeEye$, Dec 24, 2011

    $nakeEye$

    $nakeEye$ Member

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    777 -

    Exactly how did I mis-interpert what he said ?

    Obviously you are going to pull your usual bull shit and either ignore the question or refer to some past post which has nothing to do with anything -

    If it was not two days before Christmas I would tell you to go fuck yourself - however - I will hold that off until Monday !
     
    #51
  12. basicstrategy777, Dec 24, 2011

    basicstrategy777

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    What he said is not what you said he said. You made stuff up that wasn't there.

    He is in the tax prepartion business and is well aware of the laws. He doen't need someone like you to tell him
    how tax law works. It was clear to me what he was trying to say....it just wasn't clear to you.
    Your comment to ED that...."There is something wrong with your statement "...is laughable and just so wrong.

    He was a gentleman in his response to you and let you down easy.

    It is now obvious you have a problem understanding what is being written by me or others. This tax issue is a case in point and the 'don't odds verse flat bet' , that I tried to explain to you on another thread, is another case in point.

    Unfortunately, you are a hot head. I'm sure it has gotton you in trouble before and it will again.

    After a while, you can figure out the people here who are blowhards and those that know what they are talking about. I've got you figured out...........guess what camp you fall into.

    Do you understand ?


    777
     
    #52
  13. $nakeEye$, Dec 24, 2011

    $nakeEye$

    $nakeEye$ Member

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    Hey 777 -

    Consider it Monday morning - Get the translation ! And suffice it to say that comes from the bottom my heart ! And, furthermore, your response(s) , as usual . are lacking and evasive at minimal - grow a pair !
     
    #53
  14. basicstrategy777, Dec 24, 2011

    basicstrategy777

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    "When the facts are on your side, pound the facts........when the law is on your side pound the law.........when nothing is on your side, pound the table."

    You have proven to be a table pounder extraordinaire.

    777
     
    #54
  15. $nakeEye$, Dec 24, 2011

    $nakeEye$

    $nakeEye$ Member

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    I take that as compliment !

    Thank You !
     
    #55
  16. The Midnight Skulker, Dec 28, 2011

    The Midnight Skulker

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    Collecting losers from multiple sources has its pitfalls. I read a purportedly true story of someone who tried to balance a win with such losses only to be caught when his "documentation" showed that he was at more than one race track at the same time!
     
    #56
  17. basicstrategy777, Dec 28, 2011

    basicstrategy777

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    "Whatever you freely assert, I may freely deny."

    The IRS are not dummies. They have seen it all before. What you show them has to make some sense. You have to back up your losses with some form of documentation that meets their requirements. Just saying you lost money or coming up with what you stated won't pass muster.

    777
     
    #57
  18. epenak, Dec 31, 2011

    epenak

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    You can keep a personal diary of each of your sessions, your buy-in amounts and your cash-outs and use that as your personal statement, in case you are audited. If you keep an accurate record of every session near the time of the session, then it could be admissible even in a court of law.

    This is what the IRS says, from their site at http://www.irs.gov/taxtopics/tc419.html
    There are some links in the site that are not active below.

    And, if you do get audited, remember that your CPA (if you have one) can only give you accounting advice. If you think you are being bullied by the IRS over a difference of opinion about which records they choose to accept, then you should probably consult with a tax attorney.
     
    #58
  19. basicstrategy777, Dec 31, 2011

    basicstrategy777

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    A daytimer is perfect for documentation evidence and is one reason I use one. It is admissable and accepted.

    In addition to the usual entries ( game, losses, time, hours played, day, ....you can also enter table # if you want to be real specific ).

    777
     
    #59
  20. Greatest 7 Shooter in the World, Jan 11, 2012

    Greatest 7 Shooter in the World

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    Yeah that what I had said in one of my posts. If it gets to the lawyer part your F*cked. Now the 2k for CPA sounds like a deal because the lawyer just might be 10k in legal fees. It's a loose loose all the way around.
    So by you fighting over some of the expense receipts you could actually cost yourself some serious additional coin.

    Lets just put it in simple terms. If you think you are going to win against the IRS think again. If you did you would be the first in History to do so.
     
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