How do I report gambling winnings and deduct gambling losses?
Online winnings are fully taxable so you must report gambling winnings, even those that didn’t have tax withheld.
You might be able to deduct gambling losses. So, keep a record so you are able to report gambling winnings and deduct gambling losses with accuracy.
To deduct gambling losses, you must provide records that show the amounts of both your winnings and losses, like:
Enter your winnings in the Form W-2G topic or as Other Income. To deduct gambling losses, you must itemize your deductions:
- Claim your gambling losses as a miscellaneous deduction not subject to the 2% limit.
- Your losses must be equal or less than the gambling winnings you reported as income.
Learn more about the capital gains tax exemption on the sale of a home with the experts at H&R Block.
Uber and Lyft drivers must file self-employment income taxes. Learn more with the tax experts at H&R Block.
Retiring soon? Learn more about retirement income tax including annuity taxes from the tax professionals at H&R Block.
Is the money you received considered a gift or inheritance? Learn more from the tax experts at H&R Block.