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Sports Betting Tax Calculator

Estimate your tax liability on gambling winnings. Calculate federal and state taxes owed on your betting profits.

Calculate Your Tax Liability

$
$
Gross Winnings$5,000
Deductible Losses-$2,000
Taxable Gambling Income$3,000
Federal Tax (22%)-$660
State Tax (5%)-$150
Total Tax Owed-$810
Net After-Tax Profit
$2,190

How Sports Betting Is Taxed

All gambling winnings are taxable income. The IRS requires you to report all winnings, regardless of whether you receive a W-2G form.

📐 Key Tax Rules

1. Winnings are taxed as ordinary income at your marginal rate
2. Losses can offset winnings (if you itemize), but never exceed winnings
3. You cannot deduct losses against other income
4. Keep records of all bets (dates, amounts, outcomes)

W-2G Reporting Thresholds

Sportsbooks must issue a W-2G form for certain winnings:

Bet TypeW-2G ThresholdWithholding
Sports betting (300:1+ odds)$600+24% if no SSN
Slot machines/bingo$1,200+None automatic
Poker tournaments$5,000+24%
Keno$1,500+24%

⚠️ No W-2G ≠ No Taxes

Most sports bets don't trigger W-2G reporting, but you're still legally required to report ALL gambling income on your tax return.

Deducting Gambling Losses

Requirements to Deduct Losses

🚨 Important Disclaimer

This calculator provides estimates only. Tax laws are complex and vary by situation. Always consult a qualified tax professional for personalized advice.

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