Raising the W-2G threshold

Hi, John,

I read your column and really like it.

I just read a comment about the tax laws being tightened regarding record keeping for gambling loss claims. It amazes me how the IRS wants more from those who are winning less per wager. The dollar value per bet per spin has increased over the years. Neighborhood casinos have sprung up all over the U.S. and no doubt there are many more casinos gamblers than years back.

Therefore, in all fairness the IRS should be increasing the W-2G requirement. Seems to me it has been $1,200 and up for years. Wow, and they say gambling is greed.

Keep the good articles coming.

Thanks,
Jim

Dear Jim,

Thanks for the kind words about my column.

I suppose if the AMT isn't adjusted for inflation, there's little hope that the threshold will be raised.

Seriously, casinos would like to see the threshold raised too. I discussed this issue with one of my slot director friends and he said that jackpots of $1,200 and up are much more frequent now than they were when the requirement started. Still, he said, he didn't think the threshold would be raised because the government likes the additional taxes it collects. This conversation took place before 2000 — when there was a surplus — so you can imagine there's even less hope for an increase given today's budget and tax situation.

Best of luck in and out of the casinos,
John

Send your slot and video poker questions to John Robison, Slot Expert, at slotexpert@comcast.net. Because of the volume of mail I receive, I regret that I can't reply to every question.