Gambling Winnings & Losses
The most frequently asked tax questions related to Gambling Winnings & Losses
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Answer Tax QuestionsI won a prize of a leather coat at a fashion show , is it taxable ?
Asked Sunday, September 03, 2000 by an anonymous user
Generally yes. Prizes or awards are taxable and you would be taxed at the fair market value of the leather coat that you won.
Where do I report the lottery winnings I won during the year on my tax return ? I received a 1099-G
Asked Sunday, September 03, 2000 by an anonymous user
Lottery winnings, prizes and awards are taxable income and reported as "other income" on line 21 of the 1040 form. Do not forget to deduct your gambling losses on Schedule A, which are only deductible to the extent of your winnings.
Are travel expenses related to my appearance on a game show deductible against my winnings?
Asked Sunday, September 03, 2000 by an anonymous user
Sorry. Even though you won, your travel expenses are not deductible, nor are they considered gambling losses.
How do I deduct and substantiate my gambling losses ?
Asked Friday, August 18, 2000 by an anonymous user
You can only deduct your gambling losses if you itemize your deductions. You would claim gambling losses as a miscellaneous deduction on Form 1040, Schedule A not subject to the 2% limitation. The amount of losses you can deduct cannot be greater than the gambling income reported on your income tax return. It is important to keep an accurate diary or a similar record of your gambling winnings and losses. To deduct your losses, you must be able to supply receipts, tickets or other statements that show the amounts of your winnings and your losses.
