I believe the IRS is involved on payoffs greater that return more than $600 per $1 bet. If your tri's paid less than $600 per bet you are good. The place and show wagers are tax free (remember you should declare all winning on your income tax--RIGHT!!!). Lets say I had $1000 to place on a horse that paid $5 to place I would get $2500. Certainly this is less than 600-1 hence no tax
First off the WPS bets you can cash regardless yourself, not taxable in any form. The tri's are taxable because they are over $602.00 and at odds of 300-1. If you cash them seperately it will not matter anymore because we are in the age of computers so identical wagers can easily be matched up, where as in the past it was all paper records so a few days and different windows apart would easily solve that problem. If you cash all the trifecta's at the same time they will withhold the taxes because they total over $5,000.00, so I'd say cash you WPS tickets, then go cash your Tri's, let them withhold the %, and file for that money next year...
Likely depends where you are, but based on my past here in Vegas:
The machine will lock up the tickets when they cash if they go over a certain amount(which was already discussed). No getting around the paperwork.
As discussed no paperwork on WPS tix.
As far as SS, can't remember if you can just give a verbal or not. I know you cannot refuse. I would bring it and first ask them if you can just give it verbally, if not furnish it.
The machine will lock up the tickets when they cash if they go over a certain amount(which was already discussed). No getting around the paperwork.
As discussed no paperwork on WPS tix.
As far as SS, can't remember if you can just give a verbal or not. I know you cannot refuse. I would bring it and first ask them if you can just give it verbally, if not furnish it.
They withhold 28% (on tickets worth over $5000) and you to put the winning into you tax return. Whatever is withheld goes against whatever your total tax is for the year and you will get back whatever the difference is.
People who regularly go to the track and sign IRS tickets end up declaring losses against winnings in order to get most of it back. They usually save losing tickets in the event of an audit. Not 100% sure, but I believe they can audit that particular year for up to seven years, so no need to save proof forever. If you go the route of declring losses against your winnings I suggest getting some professional advice.
They ended up getting Pete Rose on tax evasion because he hit a ticket that had to be signed for at the IRS window. He paid someone else to sign it and have that person declare the winnings. That kind of thing happens all the time. He is the only person I've ever heard of that was caught doing it (mainly because they got the person who cashed the ticket to testify against him). Some people think he went to jail for betting on baseball. Those people are ill-informed.
hno:
