Colorado deduction limit for gambling income
Apparently there is a new law in 2022 in Colorado that limits the amount you can deduct. Does this affect my gambling income? I have 5 figure net profit from sportsbook gambling, but that comes from a substantial amount of bets won and lost. Let's say of all the best I placed, the ones I won total $1M and the ones I lost total $950K, for a net profit of $50K. Because I deduct the $950K on my federal taxes, am I supposed to do the same thing on my CO state taxes, which supposed now limit ductions to $30K/$60K for single/jointly? The tax preparer I am using doesn't seem to know the answer. Is the state of Colorado really going to tax me on most of the $1M and not let me deduct the $950K in bets that I lost?
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