Taxes

[mattrud]

So... what's the deal with paying taxes (in the US) and offshore sports betting?

[DOP]

no offshore is going to send info the IRS so unless you get a W-2G in the mail (or win at a "real" casino), don't ever pay taxes.

as long as you are not having your offshore winnings wired to your account or depositing checks >10k, you will not have a problem.

if you have other questions, you can PM me.. I'm an accountant!

[Beyond the Bets]

(03-11-2012 10:26 AM)DOP Wrote:  no offshore is going to send info the IRS so unless you get a W-2G in the mail (or win at a "real" casino), don't ever pay taxes.

as long as you are not having your offshore winnings wired to your account or depositing checks >10k, you will not have a problem.

if you have other questions, you can PM me.. I'm an accountant!

Will you fill out my taxes this year and identify all potential loopholes for me?

[itg_sports]

Dop...you could be the forum's very own Andy Dufresne.

BTB doesn't watch good movies so he won't understand the reference but when you are doing his taxes do not, I repeat, do not call him obtuse.

[DOP]

I'm pretty sure the drinks you had with stuckey the other night should count as a business expense!

[The Cosmic Kid]

Very insidery info. Glad to have an accountant on board (pun).

[Beyond the Bets]

(03-12-2012 01:36 PM)DOP Wrote:  I'm pretty sure the drinks you had with stuckey the other night should count as a business expense!

Give me your best trick when it comes to "writing stuff off."

[DOP]

I feel like BTB is upset with accountants. I consider myself more of a financial advisor. My day-to-day work as an accountant is not tax-related.

Lets face it.. the tax rules are ridiculous and anyone thats ever followed by-the-letter (especially self-employed) wouldn't make a dollar.

You work hard and pay taxes... then you use your money to buy something and pay tax all over again...

Did you know that if you are walking down the streets of Vegas, find a $100 bill on ground, and keep it... that you are supposed to include this $100 on your tax return as income? So you are required to pay taxes on money that someone else has already paid taxes on, its an absurd system.

[Beyond the Bets]

Wow, very eye opening. Tell us more!

[DOP]

Now I know you are playing with my emotions. I personally think the tax code is very interesting and you should always ask your accountants plenty of questions.

Here is a good quote from a regional firm on Long Island (close to home)
"A client not only tried to, but properly did deduct several thousands of dollars of comic book purchases. He was a university doctoral student, doing his thesis in his field of expertise ... having to do with the relationship of comic books to the societal values of the era."

My point is: You never really know, so its always good to ask!

[kreatture]

I haven't filled out taxes in 3 years.. should I be in prison??

[DOP]

(03-13-2012 12:37 PM)Mr Lucky Wrote:  I haven't filled out taxes in 3 years.. should I be in prison??

You need make money first before the government will come after you.

ZING! just kidding.

[Beyond the Bets]

(03-13-2012 11:09 AM)DOP Wrote:  Now I know you are playing with my emotions. I personally think the tax code is very interesting and you should always ask your accountants plenty of questions.

Here is a good quote from a regional firm on Long Island (close to home)
"A client not only tried to, but properly did deduct several thousands of dollars of comic book purchases. He was a university doctoral student, doing his thesis in his field of expertise ... having to do with the relationship of comic books to the societal values of the era."

My point is: You never really know, so its always good to ask!

So, basically, the point is that I should start collecting or studying comics?

[illadelphia]

Fed Tax might have been one of the most boring classes in law school. However, I will never forget this case:

In 1994, stripper Cynthia Hess (better known as "Chesty Love") successfully sued the IRS to take a $2,088 deduction on a boob job that left her with a size-56FF chest.

U.S. Tax Court Judge Joan Seitz Pate noted that Hess increased her income as a result of the surgery and that her cumbersome breasts, weighing 10 pounds each, were so large that she could not derive personal benefit from them. Hess had undergone the surgery "all for the purpose of making money" at an Indiana strip club, and the tax court allowed her to deduct the expense as a "stage prop."

[DOP]

Just wanted to let BTB know that I am reviewing a chapter on Revenue Recognition now... and I LOVE IT!

haha. good luck tonight everyone.

[victortrash]

(03-11-2012 10:26 AM)DOP Wrote:  no offshore is going to send info the IRS so unless you get a W-2G in the mail (or win at a "real" casino), don't ever pay taxes.

as long as you are not having your offshore winnings wired to your account or depositing checks >10k, you will not have a problem.

if you have other questions, you can PM me.. I'm an accountant!

so just say I do have an offshore check >10K. What do I do with it? I don't think those check cashing places are a good alternative at their rates.

[DOP]

I'd call the offshore back & have the check broken out into smaller ones. Smaller checks go unnoticed. I'm not sure of the specifics exactly but I believe depositing 10k checks is the point at which the IRS begins to look closer at your account.

Don't quote me on that but I know its much better to have 5 checks at vary amounts totaling 15k... than 1 check for 15k.

[Beyond the Bets]

(03-14-2012 06:38 PM)DOP Wrote:  Just wanted to let BTB know that I am reviewing a chapter on Revenue Recognition now... and I LOVE IT!

haha. good luck tonight everyone.

Don't ever let this thread die. I want all the tricks.

[laxbrah420]

stock losses count against income
gambling losses seem not to
however, can gambling losses counteract $$ owed on the w-2g?

[DOP]

yes.. you can subtract gambling losses AGAINST winnings..
win 50k and you can prove you also lost 25k... you only pay tax on 25k (the winnings)

HOWEVER, win 0k and lose 25k, you do NOT get to reduce your annual income (from non-gambling) by 25k

- stock losses up to 3k/year can be taken against income. the rest is a carryforward to future years.. so if you lost 100k in 1 year, you'd be carryfoward your stock losses for a long time. I hate that rule too.