The United States plans to change the rules of taxation of gambling: what to expect players

The United States plan to legislatively consolidate restrictions on tax deductions from gambling – will be allowed Only write off the amountsdoes not exceed victory. Can also return the old reporting limit – 20,000 and 200 transactions per year, This will facilitate the tax pressure for random players.

The next one writes about this. The new law proposed by the administration of Donald Trump and Already approved The Committee of the Committee on the way and means (methods and committee on the means) is currently being considered in the Senate.

What will change

The most important change is Restriction of the ability to subtract the loss of game from the total taxable income. By new rules:

• The player will be able to subtract the costs associated with gambling, only Within the framework of a real victory;
• If the losses exceed the victory, Excess will not be taken into accountwhich will lead to the highest tax base.

It is especially painful to press Professional playersFor which participation in gambling is a source of income. It was important for them to consider travel expenses, tournaments, equipment rental and commission. Now these expenses will be limited only by the amount of victory.

The second key point in the bill is to cancel the situation introduced by the ARPA law in 2021, according to which it is possible to report on the US tax service (IRS), this was necessary from any receipt from the third parties (PayPal, Venmo, Zelle) from $ 600 per yearField

The new law is returning The previous threshold of $ 20,000 and at least 200 transactionsAfter that, the platform is required to submit form 1099-K in the tax. This decision is intended to reduce the administrative load both on players and on the platforms that serve the money transfer, especially for random or small victories.

What are the risks for players

In general, changes Fiscal – The US government seeks to reduce budget deficit by increasing tax revenues. According to analysts, innovations can additionally increase to $ 4-6 billion over the next five years. But in the short term:

• Professional players will lose financial flexibility;
• Gambling platforms will be forced to update reports;
• Players will have to document their income and expenses more carefullyTo avoid problems with tax authorities.

Despite the approval of the Committee of the House of Representatives, the Senate of the bill There is currently no wide supportThe field of some legislators believe that changes can complicate the life of the middle class and will not give the expected effect without a comprehensive tax reform.

As previously reported by OBOZ.UA, in Bulgaria the fight against gray economy and unlicensed gambling became the driving force of entry into the eurozone. In the government, the country is convinced that the entry into the euro zone will allow you to deal with large volumes of “gray” funds, in particular, with unauthorized gambling.