Questions on sports betting in the US

[DuncHen22]

I've been fooling around with sports betting for a little over a year (just playing with SBR points and a total of maybe $200 of my own money plus some free money I got with SBR points).

I'd like to get more serious with sports betting eventually but I have some concerns about the legality of it.

Please excuse me if these questions sound naive. I'm relatively new to this world and I'm just looking for some answers.

-Can you be arrested or have your bank account seized by the feds, if caught?

-If you use your credit card, can your credit card issuer (Capital One in my case) find out? And if so, will they shut down your account?

-If an offshore sportsbook stiffs you, is their any legal recourse available? (I was planning on using 5Dimes so hopefully this wouldn't be a problem).

-Do you report earnings to the IRS for tax purposes?

-Are there any other things I should be concerned about, or watch out for?

Thank you for your help!

[durito]

1) No
2) Yes they can find out, no they probably won't close your account
3) No
4) Yes
5) No

[frostno98]

Quit while you still can. Only bet local or at Vegas, so there's no paper trail

[relaaxx]

1) No
2) Yes they can find out, no they probably won't close your account
3) No
4) Yes
5) No

agree - good to be cautious - try not to worry too much - there are too many people doing it - keeping track of us all and all the transactions that we do is almost impossible. keep you lifestyle quiet. friends today may be enemies tomorrow.

[DuncHen22]

1) No
2) Yes they can find out, no they probably won't close your account
3) No
4) Yes
5) No

agree - good to be cautious - try not to worry too much - there are too many people doing it - keeping track of us all and all the transactions that we do is almost impossible. keep you lifestyle quiet. friends today may be enemies tomorrow.

Thanks and Thanks! That pretty much answers my concerns. That's what I sort of figured (especially since I won't be playing with nearly as much as some people so even if they did hunt people down I'd probably be waaay down on the list) but I just wanted to make sure.

Also, one of my friends is a professional poker player, so I've heard first hand the perils of trusting "friends" too much (whether it's money or information).

[testudo]

I would claim it as income if you make to much, but other than that you are good.

[Trucker George]

Those are all perfectly reasonable and good questions. Here in the US the general lack of information and wrong assumptions that most people have about online sportsbetting is sad. Every once in a long while I talk to a "civilian" about this topic and pretty much without fail the person's naive point of view is that a person betting on sports in the US is automatically a law-breaking, IRS-dodging, irresponsible fool. So of course it's easier to just not talk about it. It would take an hour to peel away the many layers of ignorance the person has on this topic just to be able to talk about real issues!

[dark star]

Deposit small amounts and bet small amounts and you'll be fine

[brad89]

-Do you report earnings to the IRS for tax purposes?

4) Yes

Do people in the US have to pay tax on their gambling profits?

[DuncHen22]

Do people in the US have to pay tax on their gambling profits?

Any money you make anywhere is subject to be taxed.

[csm506]

dark star is right, deposits should always be 200 or less most books are good, I have been using 5dimes for years and they have always paid even up to a few grand with no issues. Be smart and if you have questions come to the forums for answers GL

[increasedodds]

$200 or less????

[Santo]

Any money you make anywhere is subject to be taxed.

Not true. In both the UK and Australia gambling winnings are tax exempt.

[Cicima6709]

Do you guys break up your withdraws into smaller amounts just to avoid suspicion? I too am a small $$$ player with 5dimes, but have been doing very well this year, just wondering if i should maybe take out my money in small increments to avoid any huge sums? I deposited with my CC and plan on getting money sent to my bank account.

[loyd]

Those are all perfectly reasonable and good questions.

i don't think so, before inquiring about the IRS u should first win enough money to make it reasonable to think about the irs, i cant believe one is making $50 a year and come here saying "hey, will the IRS find out i won this money and come wanting his share? maybe $1 or $2?"

[astrodomer]

Toledo +10/12 risking 27

[DuncHen22]

Not true. In both the UK and Australia gambling winnings are tax exempt.

I meant here in the US.

[DuncHen22]

i don't think so, before inquiring about the IRS u should first win enough money to make it reasonable to think about the irs, i cant believe one is making $50 a year and come here saying "hey, will the IRS find out i won this money and come wanting his share? maybe $1 or $2?"

No, it's a perfectly reasonable question. If I decide I want to invest $10,000 I want to know the legal issues I may run into with that kind of money before I invest.

[alling]

** will remove any concerns when it comes to the feds and your bank.