Fish, one more question buddy.....

When filing a schedule A, you dont pay in to SS do you?

Also, what is a estimation of the % for Federal tax?

I seen General state 12.4%, but I don't know where that number came from.

Thanks,

BB

bigbet1234 said:

When filing a schedule A, you dont pay in to SS do you?

Also, what is a estimation of the % for Federal tax?

I seen General state 12.4%, but I don't know where that number came from.

Thanks,

BB

Click to expand...

No, you dont have to pay SS if your filing as a non-professional...........which I personally recommend to 99% of the people.

I am confused on what your asking in regards to estimation of the % for Federal Tax.

You do not have to pay estimated taxes if that is what you mean.

Here are the Federal Tax rates for 2003.............



<TABLE borderColor=#006666 cellSpacing=0 cellPadding=4 width="100%" align=center border=1><TBODY><TR bgColor=#009999><TD class=tablehead vAlign=center align=middle width="12%"><CENTER class=tablehead>Tax rate </CENTER></TD><TD class=tablehead vAlign=center width="20%"><CENTER class=tablehead>Single filers </CENTER></TD><TD class=tablehead vAlign=center width="29%"><CENTER>Married filing jointly or qualifying widow/widower </CENTER></TD><TD class=tablehead vAlign=center width="19%"><CENTER>Married filing separately </CENTER></TD><TD class=tablehead vAlign=center width="20%"><CENTER>Head of household </CENTER></TD></TR><TR bgColor=#f1f1f1><TD class=body-bold vAlign=center align=middle width="12%">10% </TD><TD class=body vAlign=center width="20%"><CENTER>Up to $7,000 </CENTER></TD><TD class=body vAlign=center width="29%"><CENTER>Up to
$14,000 </CENTER></TD><TD class=body vAlign=center width="19%"><CENTER>Up to $7,000 </CENTER></TD><TD class=body vAlign=center width="20%"><CENTER>Up to $10,000 </CENTER></TD></TR><TR bgColor=#ffffff><TD class=body-bold vAlign=center align=middle width="12%">15% </TD><TD class=body vAlign=center width="20%"><CENTER>$7,001 - $28,400 </CENTER></TD><TD class=body vAlign=center width="29%"><CENTER>$14,001 - $56,800 </CENTER></TD><TD class=body vAlign=center width="19%"><CENTER>$7,001 - $28,400 </CENTER></TD><TD class=body vAlign=center width="20%"><CENTER>$10,001 - $38,050 </CENTER></TD></TR><TR bgColor=#f1f1f1><TD class=body-bold vAlign=center align=middle width="12%">25%</TD><TD class=body vAlign=center width="20%"><CENTER>$28,401 - $68,800 </CENTER></TD><TD class=body vAlign=center width="29%"><CENTER>$56,801 - $114,650 </CENTER></TD><TD class=body vAlign=center width="19%" bgColor=#f1f1f1><CENTER>$28,401 - $57,325 </CENTER></TD><TD class=body vAlign=center width="20%"><CENTER>$38,051 - $98,250 </CENTER></TD></TR><TR bgColor=#ffffff><TD class=body-bold vAlign=center align=middle width="12%">28%</TD><TD class=body vAlign=center width="20%"><CENTER>$68,801 - $143,500 </CENTER></TD><TD class=body vAlign=center width="29%"><CENTER>$114,651 - $174,700 </CENTER></TD><TD class=body vAlign=center width="19%"><CENTER>$57,326 - $87,350 </CENTER></TD><TD class=body vAlign=center width="20%"><CENTER>$98,251 - $159,100 </CENTER></TD></TR><TR bgColor=#f1f1f1><TD class=body-bold vAlign=center align=middle width="12%">33%</TD><TD class=body vAlign=center width="20%"><CENTER>$143,501- $311,950 </CENTER></TD><TD class=body vAlign=center width="29%"><CENTER>$174,701 - $311,950 </CENTER></TD><TD class=body vAlign=center width="19%"><CENTER>$87,351 - $155,975 </CENTER></TD><TD class=body vAlign=center width="20%"><CENTER>$159,101 - $311,950 </CENTER></TD></TR><TR bgColor=#ffffff><TD class=body-bold vAlign=center align=middle width="12%">35%</TD><TD class=body vAlign=center width="20%"><CENTER>$311,951
or more </CENTER></TD><TD class=body vAlign=center width="29%"><CENTER>$311,951
or more </CENTER></TD><TD class=body vAlign=center width="19%"><CENTER>$155,976
or more </CENTER></TD><TD class=body vAlign=center width="20%"><CENTER>$311,951
or more </CENTER></TD></TR></TBODY></TABLE>

Not sure what GENERAL is referring to with the 12.5%.

If one was to make $14,000, you would essentially be paying about 12.5% tax on your income if filing as being single.

:toothless wow we have MODS and Tax advisors here at the rx...simply amazing

do you pay taxes on everybet or game won and then ride off losses?

example: 100 bets won @$100 = $10,000
50 bets lost @ $110 =$ 5,500

Do you pay taxes on $10,000 then itemize $5,500 on losses
Or do you pay taxes on net profit $4,500 ?

Thanks
Max Value

Max Value said:

do you pay taxes on everybet or game won and then ride off losses?

example: 100 bets won @$100 = $10,000
50 bets lost @ $110 =$ 5,500

Do you pay taxes on $10,000 then itemize $5,500 on losses
Or do you pay taxes on net profit $4,500 ?

Thanks
Max Value

Click to expand...

Itemize the losses

Fishhead said:

Itemize the losses

Click to expand...

Hey Fishhead. I'm just a recreational player who may or may not have a positive figure from playing online this year. 95% plus of my total income is from retirement.
Do I still need to file Schedule A if there is a net loss to keep from worrying.
I understand if there is any profit that I would need to show it.

Thanks

Whoson1st said:

Hey Fishhead. I'm just a recreational player who may or may not have a positive figure from playing online this year. 95% plus of my total income is from retirement.
Do I still need to file Schedule A if there is a net loss to keep from worrying.
I understand if there is any profit that I would need to show it.

Thanks

Click to expand...

My first advice to you is to seek a professional tax advisor in your area.

Let me warn you though, I have talked with many a tax advisor and the vast majority are very naive when it comes to gambling related material.

Ok, in your above example.........lets say you send $1500 offshore and run it up to $2000 during the year and have not made any withdrawls. I see no reason why you need to report anything $500 on your tax return.

Your main concern is money that actually hits your bank account or you recieve in some other matter.

Two things to keep in mind...............in a public forum like this it is virtually impossible to begin to explain all the ins and outs of the tax law regarding gambling and what you can do as a citizen of the USA to make things easy.............. and the other is to absorb as many ideas presented in this forum from those who you percieve as intelligent on this subject...........AND THEN MAKE YOUR OWN JUDGEMENT ON HOW TO HANDLE YOUR OWN PERSONAL TAX SITUATION.

In the end, it all comes down to what YOU and your TAX ADVISOR plan of attack are.

I personally work with an executive H&R Block representive 3-4 times a year...........but more than half the time I am explaining more to him than he is to me(as far as gambling law is concerned). Together though, it is easier to not miss something of importance working together as a team.

Whoson1st- I do my taxes on the Turbo Tax computer program. It walks you through every step, and I know there is a section for "gambling winnings" on the 1040. It doesn't ask for any specifics, so I would think you'll be fine to just put your net profit on that line. Maybe Fish can get into specifics of how much you are allowed to put on that line before having to file a schedule A or C. What's a schedule A? Is that investment income? Schedule C is business income.

Fish's advise is right on. First and foremost, you do need to hire a tad advisor and for me, it is an accountant...

You really should not be handling this on your own because there are different methods of reporting this and unless you are an expert, you won't end up doing it in the best and safest manner...

Just my 2 cents....

THE SHRINK

Let me warn you though, I have talked with many a tax advisor and the vast majority are very naive when it comes to gambling related material.

Click to expand...

This is so true. I called around and asked several accountants and tax preparation companies and they all had a hard time working with gambling taxes. I told one lady at H&R I would see her soon and she was like "oh no". She says we never see people claiming winnings. Swear to god. LOL

From the chart above, what you filed as income in 2003 is the amount of tax you will be charged in 2004.

Jackson-Hewlitt has done my taxes for the last xx years. I can't IMIGINE in my worst nightmare that even if I was audited from previous years--about Neteller Deposits and Wihtdrawals that I could be in any trouble with a Loss--for not showing it.

Is one of these companies (Jackson-Hewlitt) etc. as good as the next one?

Fishhead said:

My first advice to you is to seek a professional tax advisor in your area.

Let me warn you though, I have talked with many a tax advisor and the vast majority are very naive when it comes to gambling related material.

Ok, in your above example.........lets say you send $1500 offshore and run it up to $2000 during the year and have not made any withdrawls. I see no reason why you need to report anything $500 on your tax return.

Your main concern is money that actually hits your bank account or you recieve in some other matter.

Two things to keep in mind...............in a public forum like this it is virtually impossible to begin to explain all the ins and outs of the tax law regarding gambling and what you can do as a citizen of the USA to make things easy.............. and the other is to absorb as many ideas presented in this forum from those who you percieve as intelligent on this subject...........AND THEN MAKE YOUR OWN JUDGEMENT ON HOW TO HANDLE YOUR OWN PERSONAL TAX SITUATION.

In the end, it all comes down to what YOU and your TAX ADVISOR plan of attack are.

I personally work with an executive H&R Block representive 3-4 times a year...........but more than half the time I am explaining more to him than he is to me(as far as gambling law is concerned). Together though, it is easier to not miss something of importance working together as a team.

Click to expand...

If you know any business owners speak with them to see who does their books. You might be able to hire that person on the side. Ask the person flat-out if they have any experience with gamblers. If they hesitate walk away. Don't mess around with morons who are just getting by earning a paycheck and can't really do their job.

If one does their OWN studying and reads the tax laws on gambling, talk with other longtime gamblers, etc., etc..............you are going to know more about how to handle gambling taxes than 99.4% of the tax accountants out there.

TRUST ME IN THIS!!

I KNOW FIRSTHAND!

Having said that, find yourself one anyway!!

Fish...you need to do a class or seminar at RX bash 05..im serious

How many account (bank accounts) in the US does Neteller have? I would guess they would be some of the first audited.

Sounds like a crap shot to me--finding the "right" tax person.

A unknown HUGE tax advantage of itemizing your losses on Schedule A is that you will DRASTICALLY cut your STATE INCOME taxes if you have income from another state!

Rental property in another state as an example.

For example, if you currently pay say $1300 in state taxes from income in ANOTHER state..............YOU CAN VIRTUALLY ELIMINATE THIS ENTIRE TAX BY REPORTING YOUR WINNINGS ON LINE 21 and ITEMIZING YOUR LOSSES ON SECHEULE A!

THIS IS HUGE!

So in theory, by reporting say 130,000 in winnings and deducting 130,000 in losses(deadeven or a loser for the year since you cannot deduct losses more than winnings)....................YOU ELIMINATE THE VAST MAJORITY OF YOUR STATE INCOME FROM ANOTHER STATE BECAUSE YOUR REPORTING MUCH HIGHER A PERCENTAGE OF INCOME IN THE STATE YOU LIVE.

IN THE ABOVE EXAMPLE, YOU JUST SAVED $1300 BY DOING THIS!!

Damn, I was hoping to get into the 12% bracket. So much for that. i think i am going to puke! uke1:


ol' sam is keeping over 1/4 of my income!

if he does this, we will need to hire a translator also:toothless

Dante said:

Fish...you need to do a class or seminar at RX bash 05..im serious

Click to expand...

It takes alot of hard work to get in that 12% bracket BB. :105317756

bigbet1234 said:

if he does this, we will need to hire a translator also:toothless

Click to expand...

:biggrinin