withdrawing question

[meaiken]

Let's say, for example, u win $11,000 in a online poker tourney or by a sportsbook. If u take a check for the whole amount, are u subject for taxes?

Banks must report trnsactions of $10K or more. or would u take checks in smaller amounts?

Basically, my question is Do u have to pay taxes on online winnings?

[Ripple]

hell no the taxes are up to you and if u pay them ur a dummy

juct never get a check over 10k the the bank makes u fill out papers..also also ask ur book for a few checks..when i take more than 10k ill get 2 checks 5k each..

[bobj]

you won that much in poker tournament, wow. congratulations.

[10DimeBry]

check amounts dont matter at all. 10k only applys on cash transactions. Anything that is in the form of a not cash insturment the 10k rule does not apply.

[meaiken]

you won that much in poker tournament, wow. congratulations.

no, i wish. Most i won in an online tourney was about $1K, but this question came up in a discussion over the weekend with people at foxwoods.

[Homer]

check amounts dont matter at all. 10k only applys on cash transactions. Anything that is in the form of a not cash insturment the 10k rule does not apply.

Thanks for the info Dimer. Now Lets get those accounts upto 10K so we all can withdrawal that amount Woohoo

[meaiken]

so u can withdraw any amount with out it ever being reported even if it was by check.

would u go to your bank or would u go to a check cahing place to cash it?

[moondog22]

Chuck should know the answer

[meaiken]

the only reason i ask, is b/c it isn't out of the rhealm of possibility to win 10K in an online tourney or even a horse race for that matter if u play a good enough super. I could get lucky someday...
yeah right

[moondog22]

the only reason i ask, is b/c it isn't out of the rhealm of possibility to win 10K in an online tourney or even a horse race for that matter if u play a good enough super. I could get lucky someday...
yeah right

I hope you really do Meaiken

[10DimeBry]

if its off shore no. You dont have to report it. A check or money order or any instrument that isnt cash is ok to deposit to your regular bank acct regardless of the amount. For example my dad loaned me 20k a few years back. He simply wrote 2 cks for 10k each and i deposited them in my cking acct. Nothing was reported and the bank didnt even blink an eye. You cant do more than 10k from person to person without being taxed because its considered a "gift". If its a company giving you a check then any amount is fine. IRS might look into it if you say nothing but i did this a few years back and nothing was ever noticed or questioned.

[meaiken]

Thanks for the help

[Kaptain]

Dime---and others

if its off shore no. You dont have to report it. A check or money order or any instrument that isnt cash is ok to deposit to your regular bank acct regardless of the amount. For example my dad loaned me 20k a few years back. He simply wrote 2 cks for 10k each and i deposited them in my cking acct. Nothing was reported and the bank didnt even blink an eye. You cant do more than 10k from person to person without being taxed because its considered a "gift". If its a company giving you a check then any amount is fine. IRS might look into it if you say nothing but i did this a few years back and nothing was ever noticed or questioned.

Let the Old Kaptain enlighten you guys on something----The figure of 10K being reported is in regards to IRS investigations....Has been dropped to 5K.....any transaction of 3K-5K can increase interest and cause banks to alert the Government...Not the IRS, but Security----it's all due to 911......

Don't kid yourself if you think these 2 depts don't talk....may take em a while, but they'll get around to it....

If you handle transactions in the 3-5k range year around, it's not a flag....If you don't, and its an unusually large deposit, in relation to your acct, they'll flag it....Ir regula and large deposits are all subject to being reported to US Homeland...especially if it comes from overseas.........kapt

[10DimeBry]

Let the Old Kaptain enlighten you guys on something----The figure of 10K being reported is in regards to IRS investigations....Has been dropped to 5K.....any transaction of 3K-5K can increase interest and cause banks to alert the Government...Not the IRS, but Security----it's all due to 911......

Don't kid yourself if you think these 2 depts don't talk....may take em a while, but they'll get around to it....

If you handle transactions in the 3-5k range year around, it's not a flag....If you don't, and its an unusually large deposit, in relation to your acct, they'll flag it....Ir regula and large deposits are all subject to being reported to US Homeland...especially if it comes from overseas.........kapt

correct sorta kapt. the 10k rule named form-1055 is only in effect for cash transactions only. Any transaction that can be traced ie check, money order, or wire xfer is not subject to being questioned by the IRS. The reason is because the funds can be traced. IRS/FBI doesnt care about the $$$ they care about where you got the $$$'s from. Thats the issue. Now the banks can and will report any suspecious activity on a person's acct that is uncommon. IE if you sudden start depositing 5k every week for a month or more. That would get flagged. Especially if you only have a few hundred in your acct and arent clearing checks for similar amounts. The local FBI would call you and you'd have to explain yourself to them. If it was a one time deposit. Not a chance that it would be looked at unless it was 6 figures + minimum. The most the IRS could possibly do to you is tax you on your winnings. Thats the worst case senerio.

[Hoosier Daddy]

And if they tax you on your winnings, you can also offset that with gambling losses. So go to the track and start grabbing all those losing tickets!!