Was about to ask this question myself....I am using neteller for my withdrawals. Was wondering if there was a certain dollar amount either daily, weekly, monthly, etc. that would raise any red flags.....Any replies or comments appreciated.
Withdraw Question
- Thread starter boi737
- Start date
this may sound dumb, but if you are depositing a check for lets say 15k at once, and the IRS flags you for it and you have to pay taxes on it, shouldn't you then be allowed to deduct any loses from that 15k from your offshore account? How can they charge you tax on it and not let you deduct your losses?
Get the check FedExed to you. When I was a bank teller in the mid-90's we only reported *cash* transactions of $10,000-plus. And even then, it is just a simple report. Nothing to do with taxes.
If this is a profit, then you are supposed to pay taxes on it. If you have lost money previously gambling on sports, then you would deduct those losses from your profit when reporting it.
As far as fearing an audit; don't. If you are an employee somewhere who fills out a 1040 each year, then don't sweat it. You have to really be an egregious cheat to get audited. Generally 1099s are the ones who throw up red flags and get audited. In this case you have no worry about that because Olympic is not going to report your winnings to the IRS. If you really want to be an honest American and pay your taxes on it, though, I believe 1099 is the form to fill out but I am not 100% sure.
If this is a profit, then you are supposed to pay taxes on it. If you have lost money previously gambling on sports, then you would deduct those losses from your profit when reporting it.
As far as fearing an audit; don't. If you are an employee somewhere who fills out a 1040 each year, then don't sweat it. You have to really be an egregious cheat to get audited. Generally 1099s are the ones who throw up red flags and get audited. In this case you have no worry about that because Olympic is not going to report your winnings to the IRS. If you really want to be an honest American and pay your taxes on it, though, I believe 1099 is the form to fill out but I am not 100% sure.
Nick Douglas said:
...just a little clarification in regards to taxes on gambling profits and losses....
...gambling losses can only be deducted against gambling winnings in the same year, so the gov't wins both ways....
In other words, if you lose more than you win, you can only deduct your losses up to the amount of your winnings...that's it. You can't deduct gambling losses against regular (non-gambling) income....
On the other hand, if your winnings are greater than your losses, you can deduct all of your losses, but still are required to pay taxes on your winnings in excess of your losses...and there is no carry-over for gambling losses. They must be in the same year.
...as for the advice on going to the track and picking up losing tickets from the floor. Let's just say that it has been tried before and not so successful....
The guy wasn't very bright.... He picked up a bunch of losing tickets and placed them in a shoe box, but didn't look at them very carefully.... Some of the tickets were purchased for different horses in the same race, which is not all that uncommon; however, what the IRS noticed was that some of these tickets were purchased merely seconds apart at betting windows which were so far apart that it would have been physically impossible to do.... Hence, they disallowed his claimed deducted losses.... taoist,
Thank you for the clarification. I should have specified that gambling winnings are counted year-to-year.
Thank you for the clarification. I should have specified that gambling winnings are counted year-to-year.
I sold part of my business last Sept for cash. My accountant told me I should get everything from the purchaser in increments (Cashiers Checks) of $5000. Cash one each month and no sooner.
As posted above...
just have WU send you $3000 or less every other day. You will be picking it up as cash.
As posted above...
just have WU send you $3000 or less every other day. You will be picking it up as cash.
