I just won $180,622 from Harrah's Casino in Atlantic City. What will the total taxes be on this?

nice i need to start gambling !

40k sounds bout right.

donate to Charity and get a write off

write off like you never wrote off before

Being a slot player, I don't think AC has anything to really worry about. They might want to step up their comp game a little more, but that's about it. The casinos in the area (Philadelphia Park and Harrahs) are okay. I like Philadelphia Park much better than Harrahs (Chester is a big fat ghetto). The clientele for both casinos is a little less upscale than that of Atlantic City. Additionally, the AC casinos serve drinks for free (PA does not) and you get more comps than Philadelphia Park can ever offer since they don't have any real resturants or a hotel. Harrah's of course goes into your Total Rewards points, so that's cool.

I don't know your actual tax amount, but your parents won't be able to claim you this year if they did in previous years. If you won it in 2010 you don't have to worry about it til next filing season, but if you won it in 2009, You can deduct any losses from gambling up to the amount that you won, this also includes playing the lotto. So taking into account your standard deduction or itemized deduction if you have gambling losses, sales tax exemptions, if you bought a new vehicle this year, donated anything to charity, your exemption amount, and any interest that has already been paid on your student loans. Your taxable amount could be a lot less than $180,622.00. After deductions you can than find out how much tax you owe by going to the tax tables on IRS.gov.

Gambling winnings are treated as ordinary income for tax purposes. It is not possible to give you a complete answer without more information, but you should be able to meet your financial goals with your winnings. No doubt you lose money gambling some of the time, and you can deduct your losses to the extent of your winnings if you itemize. See an experienced tax preparer who has dealt with gambling winnings and losses, and be sure to take all the paperwork from the casino.

Dear sd: The tax on the first $100,000 of taxable income is $21,713, if you are single. After the $100K you will pay 28% on the rest. So you will be paying in the 23-24% area. Your $44K number is very close. You will be able to subtract some from the total winnings so I am not sure you will get into the 33% bracket. Do you have any losses to write off?

This advice was prepared based on our understanding of the tax law in effect at the time it was written as it applies to the facts that you provided. Click on my profile to read more. Errol Quinn Enrolled Agent.

Figure this:

- you are someone who made 180K this year with no write offs (mortgage interest or kids) – and your student loan interest will not be deductible because you are not paying it off yet. Figure 40% tax bracket to be safe. 108K left

- you have bad rates on your student loans, pay them off, actually at 7% federal, you are probably wrong or lying. It’s tough to get such crappy rates from the gov’t with current interest rates. (plus you wont be able to write off the interest until you start making real money after graduation) 54K left

- buy a faster car than anyone on campus that can still carry two chicks in back and show some bling - 2006 CTS-V for 24K, 30K left

- give your mom and pop 5K, 25K left

- don’t tell anyone about this money you have left (you blew it all on the car) in grad school because they won’t pay you then (profs are usually pricks that could not get a job), to some TAing, get some GA $ because you “don’t have any money” and live like a college kid with a fast car….those are the best days of your life………

Nice. Hopefully you were holding that losing hand!

You also need to figure out your gambling losses (yes, with a log) so you may be able to deduct those against your winnings. You must itemize to do so.

If you live near York PA, I'll gladly do your return pro-bono just for your story.

Helen, EA in PA and hoping for that bad beat!

For Legal help I recommend this site where you can find all the solutions. http://creditandfinancesol.info/index.html?src=5YA...

RE :I just won $180,622 from Harrah's Casino in Atlantic City. What will the total taxes be on this?

I am a 21-yr old college student with $54,000 in student loan debt from federal direct loans and private loans, both of which are currently accruing interest at rates of 6.8% and 7.6%, respectively. I had recently won a Bad Beat poker jackpot at Harrah's Resort & Casino in Atlantic City, New Jersey for $180,622.00. They did not withhold any of the winnings and gave me the entirety of the money- $178,000 in check and $2,622 in cash. What will the tax be like on this? If this counts simply as taxable income, I figured it would cost $44,722.01- about $41,000 for the tax bracket and 33% of the amount above $171,000. Is this accurate or do they actually deduct more than the standard taxable income rate on gambling winnings? I'm trying to pay off my school debts, plan for grad school, purchase my first car, and help my parents with their mortgage, but I wanted to play it safe and be sure of how much everything would cost.

Can anyone give me some info? Thank you very much for your time and help.

Update: Thanks so much for your input so far! Some additional details:

-I won on January 15th, 2010.

-I've been playing but haven't been logging my gambling losses- I didn't think something like this would happen.

-I live in New Jersey- what would state taxes be like?

-Should I hire a tax professional?

-I'm not sure what counts as deductive, but I do not own any cars or assets. I pay monthly interest on my school loans though. Also, I've been a dependent of my mother's until then.

Update 2: Thanks so much for your input so far! Some additional details:

-I won on January 15th, 2010.

-I've been playing but haven't been logging my gambling losses- I didn't think something like this would happen.

-I live in New Jersey- what would state taxes be like?

-Is it okay if I pay off my school debt immediately?

-I'm not sure what counts as deductive, but I do not own any cars or assets. I pay monthly interest on my school loans though. Also, I've been a dependent of my mother's until then.

Update 3: Correction:

The 6.8% and 7.6% are from private state loans, not federal. Fed loan is accruing a much lower interest rate. Also, I have been paying the interest from my private loans, so maybe those are deductible?

Update 4: ****NOTE***

I DO NOT ADVOCATE GAMBLING.

What happened here was just pure chance and luck, a one in over a million short in the dark. Despite my good fortune, which I attribute to solely a higher being, I do not advocate or recommend gambling. I very rarely gamble, which is why this process is so foreign to me.

Also, poker is a sport, not gambling =p

Follow 9 answers

Gambling income is taxed as ordinary income, not at a higher rate.

Don't forget state tax if one exists where you live.

Feds take 40% and the State takes 20% you get what's left