Poker winners do attract the tax officials’ eye on them, even though online poker is legal in U.S and many other countries, the government has a share in the winners’ earnings. The IRS or Internal Revenue Service in U.S. is directly responsible for tax law enforcement and collection of taxes from the public.

All U.S citizens are liable or taxable, if they win any online poker game. It is advisable for new poker players to seek the advice of a reputable tax professional before joining the bandwagon of online poker gamers.

Many players believe that online poker websites with foreign addresses do not come under America’s stringent tax rules, but it is not so. American government enforces Federal tax on the global gambling world and its income. So, winning parties have to pay the taxes on the income gained by them through playing online poker games.

Keeping a Track of Online Winnings for Tax Related Issues

It is best for any gambler to maintain a log book with excerpts on their individual gambling activities. Players can find helpful insights on the internet about the exact requirements and Gambling Law U.S.

Some of the salient features are as follows:

o Keeping an accurate record of all online gambling winnings and losses.

o Correct date and time entered about the wagers

o Full and correct name and address of the gambling location

o Names of the playing partners at the venue

o The exact amount lost or won by you as a player.

Maintaining Regular Ledger Updates

These records of the losses and wins entered on a daily basis will be sufficient for the IRS while checking your tax liabilities. Thus, as a dutiful law abiding player, you should keep daily records and enter them quickly after the end of every gambling session. Thus, you will never forget the details nor give wrong information to the IRS.

Taking Expert Advice of Tax Professionals

Any reliable and experienced tax professional will be able to guide you as a gambler about the intrinsic rules and regulations involving payment of taxes on online poker room earnings. All gamblers need to be serious about paying their taxes and not take them lightly. For authentic info gamers can also try Russell Fox’s blog on online gambling tax requirements.

Simple Ways to Meet Tax Requirements

Online poker players can always maintain a written log using pocket diary or notepad. It is important to note down the date, time, card room name, other players’ names and the end result. Using a computerized system can also suffice. One must also keep legitimate proof of the receipts, payments and other papers as proof for tax return files.