Filing with W2 and losses Question

Last month my husband won 4k on a $1 slot. When it comes time to file our taxes, do his losses offset that win or would it be both his and my losses combined? Just trying to figure out before we go, in case we just need to play on his players card. Thanks!

Tammi from N. Ga.

You need to keep gambling records, doesn't matter whose card you play on.

If he files single but married, it's his losses.

If you both file married then it's both your win/losses combined.

Thank you


Tammi

Congrats on the win!

You need to have a "log" of your gambling wins and losses showing game/slot/table #/slot# win/loss for each session. Then you can deduct losses against winnings.

Do NOT use a casino win/loss report. They are NOT accepted by the IRS as proof of anything. (The IRS does not accept them as they vary form casino to casino and are not accurate)People who use those just muddy the waters with the IRS.

Also if your "log" (or what ever report you use for the audit)does not show wins and losses the IRS agent can "estimate" them for you.

Your wins go on the income side of the 1040 and the losses are deducted elsewhere.

Just be sure that the amount you deduct on your itemized deduction form for gambling losses does not exceed the amount of gambling income you claim on the "miscellaneous income" line on your return. You can deduct losses only up to the amount of gambling income you claim.

I had a mini audit by the IRS last year and they do accept win/loss statements. That's what I was asked to supply to them. I had to account for a w2g I had missed claiming. I paid what they said I owed them and sent my win loss statements. Three weeks later they sent me a letter saying that my payment would be refunded. In about 4 months they sent me a check plus interest.

They were very nice and helpful.

Beth

Ditto--similar experience. The booklet the IRS sends you to guide you through the audit process lists types of evidence you may wish to provide in support of your return, and casino win/loss statements are on the list, as well as personal diaries, losing tickets, etc. I don tknow why people say you "have" to have a log.

What did your husband hit on the slot? 4K is normally the top win for getting the 3 special wild/multiplier symbols on a 2 credit bet.

Could also be a royal flush, for those who view video poker as slots.