Of course, you can write off gambling losses only if you itemize deductions. The supporting documentation for gambling loss deductions may include Form W-2G Form 5754 wagering tickets canceled checks or credit card statements and receipts from the gambling source. The individuals you gambled with and, most important.The name and address of the places where you gamble.
What sort of records do you have to keep? This may vary slightly, depending on the type of gambling activity, but generally the IRS expects you to keep track of the following: It also encompasses lotteries, raffles, keno, poker games, sports wagering and the like-even bingo at the local church! This isn’t restricted to betting on the racetrack or dog track or high stakes at the casinos, although those count, too.
The IRS takes a broad view of what constitutes a gambling activity. Conversely, if you have $5,000 in losses, you can write off the entire $5,000. In that case, your gambling loss deduction is limited to $7,500. For example, say that you incur $10,000 in gambling losses and pull down $7,500 in winnings in 2022. However, your annual losses are deductible only up to the amount of your winnings. There’s no such AGI limit on gambling loss deductions.
