Have You Paid The Irs Gambling Tax Receive A Casino Tax Refund

Canadian gamblers pay the United States IRS gambling tax, yet are entitled to receive a casino tax refund.

Canadian gamblers obviously love to venture to the United States for gambling. Apart from the stage shows and the buffets, the United States casinos are obviously the largest and most enticing draw. All gamblers inevitably aim to win big, and many will eventually hit the jackpot. Gambling jackpots in the United States are assessed the Internal Revenue Service, or IRS gambling tax.

30% IRS Gambling Tax On Your Jackpot

The IRS gambling tax is set at 30% of the jackpot. The IRS gambling tax takes effect at $1200 for slot machine jackpots and for bingo jackpots. The IRS gambling tax takes effect at $1500 for keno jackpots. There are generally no casino taxes for table games, like roulette, blackjack, and poker. The casinos have argued that the IRS gambling tax would be just too difficult to impose on these games. However, the IRS gambling tax is imposed on table game tournaments, e.g. poker tournaments. The reasoning behind this is that the tournaments have both larger winnings from gambling, and the people competing at the tournaments all have documented identities. Thus it’s just easier to impose the IRS gambling tax on the tournament winners.

Casino Taxes On Canadians

There are no casino taxes in Canada. Unfortunately, casino taxes are a fact of life in the United States. Canadians gambling in the United States are charged casino taxes as well.

Casino Tax Refund

American jackpot winners may be charged the IRS gambling tax, but these casino taxes can be reduced or eliminated via a casino tax rebate. Simply put, a persons gambling wins can be offset by his/her corresponding gambling losses. If the gambling losses are lower than the gambling wins, a partial casino tax refund occurs. If the gambling losses are as high as or higher than the gambling wins, a full casino tax refund occurs. Each year, millions of US taxpayers claim their gambling losses against their gambling wins, resulting in a casino tax refund.

Were Canadians! We dont file US taxes. Can We still Obtain a US Casino Tax Refund?

Under the USA-Canada Tax treaty, Canadian gamblers are entitled to equal tax treatment as their American gambling counterparts. Canadians can theoretically apply for the US casino tax rebate as well. Unfortunately the IRS makes few provisions for non-Americans to file US tax refund applications (including applications for the refund of IRS gambling tax). Think of it, why would the IRS make an effort to make things easier for non-Americans to apply for a US casino tax rebate? There are numerous stories of diligent Canadian gamblers attempting to receive a casino tax rebate, and dealing with the IRS themselves, but coming away frustrated. Canadians attempting to receive a casino tax refund have often been asked to prove their citizenship by sending in a valid, ORIGINAL passport. A potential casino tax rebate is given in exchange for valid travel documents?

The Easiest Way to Receive a Casino Tax Rebate

Largely in response to complaints, the US government has licensed certifying acceptance agents to act on behalf of non-residents, including Canadians in their dealings with the IRS. Certifying acceptance agents have been verified to have the requisite professional knowledge and reliability to pursue the largest, most thorough, and most timely casino tax rebate.

The IRS Tax On Gambling

If you gamble in the United States at a legal casino and win, then chances are that you are going to pay the US gambling tax. If you win more than $1200 at any casino, the casino will withhold 30 percent of the money that you won for the US gambling tax. This is done to make sure that you declare your winnings on your income tax statement. You will get a win slip that is filed with the IRS to make sure that they know that you have already paid your taxes for this income. However, those who are not US citizens may be entitled to receive US tax recovery. As they may have to pay taxes on their income in their own country, US tax recovery allows them to recover the taxes that they won at the casino and were paid to the IRS so that they are not paying on their winnings twice.

US tax recovery can be a long and complicated process, especially for those who are not familiar with the workings of the IRS who now have the money that was withheld from the casino. In order to get the money back from the IRS, you need to seek out a company that will help you with the US tax recovery. You can get back US gambling tax if you are a legal resident of another country and are not a citizen of the United States. You have to complete various forms for this process as well as provide adequate documentation about the taxes that were withheld as well as your own residency proof. You will also have to show why you were in the United States. All of this information aids in US tax recovery.

There is a time limit as to how long you can get a refund on your US gambling tax. After a few years, you will not be eligible for US tax recovery, so it is best to act as soon as possible to get this money that is due to you. Your best option is to use a service that will help you retrieve your US gambling tax from the IRS. They will be familiar with the forms that you need, be able to help you provide the right documentation, and will also be able to get the win slip that states how much you paid in your US gambling tax. You stand a far better chance at obtaining US tax recovery from your gambling winnings if you use a service than if you attempt to do this on your own. You may find that the process is frustrating, that you fill out the wrong forms and may be continually asked for information. If you are from another country and are a legal resident of that country and won money at a casino in the United States and had US gambling tax withheld, you may be eligible for US tax recovery for those gambling winnings. As the amount of tax is thirty percent of your winnings, it is well worth your time to seek out a company that can help you with this process and get this money back from the IRS.

Resource: If you gamble in the US but are not a citizen, you may be eligible for US tax recovery. You may be able to get the US gambling tax that was withheld from your winnings back from the IRS if you visit US Tax Recovery.