One common question comes from online casino players is that whether they are going to pay their taxes or not in playing casino games. “What if we lose?”, “How the taxes deducted from our winnings?”, “Do they always deduct taxes every time we play online casino games?” These are the common confusion many gamblers are dealing with.So, to start it depends on the gambling law that a particular country has specifically in managing an taxes from online casinos. But not all winnings are automatically taxed by the government. But it is always a player’s responsibility to understand everything about laws that are related to gambling so that they will be aware of how their country deduct money from their winnings. Here are the common processes that occur when getting a tax from online casinos and players (this is very important specially if you are a player from the United States).Winning Taxes:In many countries around the globe, especially the USA, it is mandatory for a player to submit or share something from her/his winnings. Sometimes, it reaches to the highest rate which is 50%, the lowest is 30%. How do they know if you win? You are obliged to declare your money or else you will be questioned if they track your money in their audit. Every player is required to declare their money if they win from playing online casino games to the IRS (Internal Revenue Services) whether it is offset by loses or not.Though the fact still remains that online casinos specifically from U.S. do not declare the amount of your winnings, and of course the federal law do not know if you win or lose, you still have the obligation to follow the law and declare it in your own because at the end, you will still end up explaining to the IRS where your money comes from because they will track your money through their audit.If you are a big time or the what they call “high roller” player and choose to declare and pay your online casino tax, it will be reported as other income on U.S. tax returns. The process goes by submitting only the net of your winnings. Meaning, if you play blackjack and win $3000 from a $300 bet, that means you have to declare all $2,700.The only exemption is that you are only required to declare and pay online casino tax if and only if you win big. It considers big if you win 600$ above, and that’s the only time that you are going to declare how much money you have won from playing casino games in the internet.Tax when a player lose:About tax when you lose, they indicate it as itemized deductions and will be deducted to your winnings. So it would be much better if you will take care of your taxes and keep them on track. Listed under “other miscellaneous deductions”, you are able to deduct up to the amount you have declared in your total winnings. Please be reminded that you are not allowed or you can’t show a gambling tax loss. For example, if you have declared $5,000 in your winnings, you can also declare $5,000 in your itemized deductions under losses. Just make it sure that you will not exceed to the amount that you have recently declared.It is imperative that you must prove your winnings and losses. That’s why keeping every receipt, tickets, etc. you receive from playing online casino games is a good option because the IRS strongly suggests that every online gambler must keep everything that will prove if they win or lose. All details must be included such as, the type of bet, how much you win or lose, name of the casino site, the I.P address of that casino, etc. Keeping a detailed book of your payment methods like eWallet, credit cards, debit cards etc. is very essential in paying your online casino tax.So to conclude, keeping records in playing online casino games and making sure that they are well-organized will keep you away from being questioned by the IRS and also to avoid them sending you to jail for not paying taxes. And of course, you will be able to pay your online casino taxes hassle-free.
Description Of Online Casinos
Basic Outline:Online Casinos are a virtual internet version of conventional land-based casinos. They allow players to play and wager on thie favorite games over the internet. They typically have odds and pay out rates similar to land-based casinos. Most of these publish payout rates audits regularly in order to woo more customers. The landscape is quite competitive and numerous websites have emerged over the last three years. Many of these offer initial signup bonuses to first time customers when they make their forst deposit.Online Casinos Software and TechnologyMost have gaming softwares created by reputed companies to boost their credibility like Microgaming, Realtime Gaming, and Playtech. There are generally three types of casinos on the internet: web-based casinos, live casinos and download-based casinos. Some of them also offer multiple interface gaming. Web-based ones are usually based on flash and Java technologies offering high qulaity gaminbg experience with excellent gaphics, sounds and animation. Live casinos allow players to play over the internet in a real casino setting. They can hear, watch and interact with live dealers based in casino studios. Download-based casinos require ustomers to downloiad a playing software that requires time and updated computers as they have to be downloaded as well as installed.Casino GamesTypically, they offer a host of casino games including Online poker, Baccarat, Craps, Online slot games, Blackjack and Roulette. Almost all the games offered in land-based casinos ae available in online casinos and in fact there area number of games that are only played online.Downsides and RisksA major problem with online casinos is the reliability and trust issues that are raised consistently from many experts and analysts. Roughly, 20% of all online casino websites are illegtimate and don’t have proper licenses to operate. They are a danger to consumer safety as personal information is quite often collected like bank details and credit card information.