IRS suggests dropping casino winnings threshold to $600

[Newsjock]

Source: Las Vegas Review-Journal

... The proposal, released this week by the IRS, suggests the reporting rules for winnings from gambling on slots, keno and bingo be reduced from $1,200 to $600. The agency set a 90-day period for the casino industry to respond to the suggested regulation changes.

Read more: http://www.reviewjournal.com/business/casinos-gaming/irs-suggests-dropping-casino-winnings-threshold-600
Sorry, LVRJ is the only news source for this story.

Federal Register entry: http://www.gpo.gov/fdsys/pkg/FR-2015-03-04/html/2015-04437.htm

[Turbineguy]

1. Just as long as they

don't have to report peoples' losses. That would keep them busy.

[notadmblnd]

3. did you know that you can deduct your losses up to the amount you have won?

It cancels any tax out.

[Newsjock]

4. Only if you itemize deductions

Fine for high-income earners and/or high-tax states; not so fine for lower-income winners.

[notadmblnd]

9. you do not have to be a high income earner to itemize

you only need your itemized deductions to exceed the standard Federal deduction which is 6200.00 for a single filer for 2014.

[underpants]

2. Just cash out more often

Every time you get up from the table (21 for me) the number resets. It would be an inconvenience though.

[philosslayer]

5. Why?

So you can avoid having income reported to the IRS? And avoid paying taxes? Am i missing something here?

[underpants]

8. Yes

It's pretty standard in Vegas. I was up to. $800 at one point (walked with just under $700) but I saw several players get up for a few hands and then sit back down to continue playing. It's pretty standard.

Of course some do report the winnings so they can use them to offset losses in taxes. You can claim gambling losses up to the amount you officially win.

[dissentient]

6. Just think how much in taxes the IRS could collect if they spent this kind of effort and focus

on the shenanigans of billionaires and millionaires who do all kinds of shady things to get out of paying their fair share, instead of going after the common Joe Blow who gets lucky once in a blue moon and wins a small amount of money at the casino.

[Fumesucker]

7. I can't say I blame them

It's so difficult to get a conviction against someone with good representation if the case is at all complex.

Not to mention how career-limiting in the private sector later such cases can be for top tier managers who have to think about the political aspects of their job. Sometimes it seems that's the only part of the job they take seriously.