Claiming gambling losses? Tax question

[texaslammer]

Me and a co worker that gambles alot had a discussion and trying to understand something . So if a person won say 50k in gambling for last year and claimed they lost 50k also with that still affect there tax return ? I know you have to have a diary or card records or players card statements proving losses if you get audited . But if you win 50 and lost 50 does it even out or will it still affect your tax return in a negative way and make your return less due to the winnings ?


hopes this makes sense. Thanks in advance . looking for some tax experts to chime in that's has been down this road .

[EastTexasMan]

If you won $50K, but lost $50K then you had a net profit of $0 and don't have any profits to claim.

[texaslammer]

That's what I would think as well . He is saying that he won close to 19k in W2 at casion last year and claimed that he lost 19k as well but says that his cpa claims his return is about 2k less then normal due to the gambling stuff. I dont understand how it affected it to be 2k less if he claims he lost the same amount but maybe there is something I still dont get.

[Mike]

That's what I would think as well . He is saying that he won close to 19k in W2 at casion last year and claimed that he lost 19k as well but says that his cpa claims his return is about 2k less then normal due to the gambling stuff. I dont understand how it affected it to be 2k less if he claims he lost the same amount but maybe there is something I still dont get.

Maybe you're not getting the whole story? I have been around many high level players and a few CPAs, all said that unless you can provide loss receipts, it wasn't getting offset. I knew one guy that stopped at Delta Downs back in the day to pick up losing tickets off the ground/tables to offset his winnings at the Casinos

[glen]

He may have claimed to have lost x amount. CPA is only going to put down what receipt from casino puts down . All casinos will give you a printed players card receipt. Use this for tax purposes