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 gambling winnings tax and form w-2g from the tax experts at H&R Block.
How do business losses affect your taxes? See if you are eligible for a special allowance and get tax answers at H&R Block.
Learn about the different sources of income and determine which ones are taxable and which are tax free from the experts at H&R Block.
Learn more about reporting clergy housing allowance with advice from the tax experts at H&R Block.