I. R. S. 1099 Bombs!

John GreenhawJohn Greenhaw Senior Member
edited January 2012 in Horse Racing Forum
I do not keep up with the ever changing tax laws, that area of the law is best left in the hands of those who enjoy that type of endeavors,
but I got hit with a bomb this morning when I opened my P. O. Box.

For the past several years, I would get 1099's from Twin Spires, but they were only on hits where it was in excess of 300-1, ---I think?

Well
yesterday when I opened my mail box, I was face to face with several dozen separate 1099 forms from Twin Spires on any pay-off I got in excess of , around $1,500.00 or so.

Anyone else get this unwelcomed surprise? I can only assume that there is some tax law change which requires an ADW to report winnings in excess of a certain amount.

Does anyone know when this took place, and what the law requires?

Also, because Twin Spires uses a bank located in the State of Ohio, I will have to pay taxes to Ohio, and I don't think I have even been in Ohio!

Don't get me wrong, I am certainly not looking for a way to avoid paying my fair share, but if this is a new IRS/ADW deal then I think it could have a chilling effect on players putting out large wagers, or wagers that could pay more than $1,500.00 or so.

What do you all know, and more impootantly, what do you all think?

Comments

  • John GreenhawJohn Greenhaw Senior Member
    edited January 2012
    While I'm at it on this deal, if the ADW is required to report these winnings, then why don"t the tracks do the same for on-site winnings? I'm pretty sure the tracks adhere to the old 300-1 minimum before you are required to report, and over $5,000.00 before withholding is taken out. Admittedly, my limited knowledge is probably out dated and not up to speed with the new changes, but I am still in a state of shock over all these 1099's!
  • John GreenhawJohn Greenhaw Senior Member
    edited January 2012
    I keep using the word 1099, but I suppose they are actually a W2-G

    nevertheless, all the web sites still list the threshold as the old 300-1 and $5,000.00.

    I think a phone call to Twin Spires is probably in order!
  • John GreenhawJohn Greenhaw Senior Member
    edited January 2012
    What was it the old Nun on Saturday night Live used to say

    " NEVER MIND"

    It seems that in looking back at account history, these multiple W2-G forms correspond to days where I was collecting on $2 pick 3 and pick4. Yeah, they are better than 300-1. Sorry for the waste of time. Damn the luck, or thank heavens for the luck, not sure how I feel now that I have to give some $$$ back?
  • DiscreetCatDiscreetCat Moderator
    edited January 2012
    What was it the old Nun on Saturday night Live used to say

    " NEVER MIND"

    Hulu - Saturday Night Live: Emilys Editorial Reply 22
  • JermanJerman Senior Member
    edited January 2012
    John: The track or ADW will give you a W-2G if the hit is more than $600 and more than 300 times amount of wager.

    You can lessen the impact of these by playing 50 cent pick fours and 10 cent superfectas. Just hit the repeat button if you want more action.
  • husker70husker70 Senior Member
    edited January 2012
    Jerman wrote: »
    John: The track or ADW will give you a W-2G if the hit is more than $600 and more than 300 times amount of wager.

    You can lessen the impact of these by playing 50 cent pick fours and 10 cent superfectas. Just hit the repeat button if you want more action.

    GOOD ADVISE....DON'T BET STATESIDE....DO OFF SHORE...KEEP CHECKS DOWN TO 999.00 AND CASH AT A CHECK CASHING PLACE...

    LIKE JERMAN SAYS...KEEP YOUR BIG BETS DOWN TO MINIMUMS AND 10 CENTERS...I LEARNED THAT ONE DAY WHEN I WAS GIVING MY PICKS TO THIS OLD LADY AND SHE WASN'T PAYING ON 10 CENTERS...10 CENTER FOR $300 AND I WAS SIGNING AND PAYING 20 %.....

    THAT'S WHY I GOT RUNNERS IN VEGAS...SEVERAL OUTLETS...JUST GOT TO WATCH WHEN YOU MAKE MORE THAN $10,000

    WHEN YOU HAVE A STATE SIDE ACCOUNT...IT JUST OPENS..'EYES...PERIOD....
    I'VE LEARNED ALOT OF THIS IN MY 43 YEARS OF PLAYING...
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