Does anyone know if you have to pay taxes on your winnings since most online accounts are offshore? If you do, are you taxed at your usual tax rate?
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you are supposed report any income no matter where is comes from. up to you whether you do or not. I believe this would be taxed as capital gains which is highway robbery.Comment -
I agree, taking 35% of MY money is BS! I just wonder if the online sites report? I don't think they are required to report to the IRS because they are off shore? I guess the question is: Is it worth not reporting and then getting hit with back taxes later?Comment -
They don't report earnings. Why would you even consider paying taxes on it? That's lunacyComment -
If I knew for certain that they didn't report earnings, I wouldn't.Comment -
Of course they don't report earnings. They're not based in the United States, they're based in countries that don't even have an income tax. But you do have to report it. You must report *ALL* earnings, regardless of where its from and how legal it is. It is taxed as ordinary income, which means you're only paying 35% of it if you're already bringing in six figures elsewhere. It is not capital gains. If you fail to report and get caught or audited, you could face penalties, fines, back interest, and even civil forfeiture.Comment -
If they don't report, and I don't report..........how would anyone ever know? (unless I were to win $10,000.00 or more and try to deposit or cash a check)Comment -
Who has ever reported earnings on gambling for taxes? You may as well not even gamble in the first place then. 95%+ that gamble lose so that means if you happen to win you are likely to lose it back. Could you then claim it as a loss and get a refund from our government? I doubt itComment
