Gambling Winnings On 1099 Misc
Jun 04, 2019 It is OK if you received a 1099-MISC, the winnings amount should be listed in box 3. You'll can sometimes get a 1099-MISC instead of a 1099-G for prize money or awards. Enter the information as it appears on the form, and we'll guide you from there.
First, (and it may just be FL law) why is the threshold $600 and not $1,200? And more importantly, for income tax considerations, how would winnings reported on a 1099-MISC differ from those reported on a W2-G?
A 1099 may be more difficult to write your losses off against if you are not a professional player.
So, if I am not a professional, and I will be taking the standard deduction when I file, it sounds like there would be the same tax liability for 1099's vs. W2's?
I have received neither this year, so this wouldn't affect my taxes, but it might influence which promotions I try to go after in the future.
Thanks for the info, DRich!
So, if I am not a professional, and I will be taking the standard deduction when I file, it sounds like there would be the same tax liability for 1099's vs. W2's?
I have received neither this year, so this wouldn't affect my taxes, but it might influence which promotions I try to go after in the future.
Disclaimer: I am not an accountant.
My understanding is that if you are not itemizing deductions, they will be the same.
Administrator
I was at the local poker room last week, and they were running a high hand promotion that paid $1,300 to the winner. I asked the dealer if the winner would get a W2, but he said that any win over $600 got a 1099, not a W2. I didn't pursue it any further with him, and needless to say, I did not win the prize, but it got me wondering.
First, (and it may just be FL law) why is the threshold $600 and not $1,200? And more importantly, for income tax considerations, how would winnings reported on a 1099-MISC differ from those reported on a W2-G?
This is what the IRS instructs those who document via 1099-Misc:
File Form 1099-MISC for each person to whom you have paid during the year:
at least $10 in royalties or broker payments in lieu of dividends or tax-exempt interest;
at least $600 in:
rents;
services performed by someone who is not your employee;
prizes and awards;
other income payments;
medical and health care payments;
crop insurance proceeds;
cash payments for fish (or other aquatic life) you purchase from anyone engaged in the trade or business of catching fish;
generally, the cash paid from a notional principal contract to an individual, partnership, or estate;
payments to an attorney; or
any fishing boat proceeds,
My stupid local sent me a 1099 for a $200 high hand win last year.
That sucks, but it is not wrong on their part. They must file one if it is over $600, but if it is under it is up to them.
That sucks, but it is not wrong on their part. They must file one if it is over $600, but if it is under it is up to them.
I know, I just wasnt expecting it and I already filed when I got it. I have not done an amendment and will see if the IRS sends me one if those nice letters like I got a few years ago when a similar thing happened.