If I spent the money I won at a casino, must I report the winnings on my taxes?

ANSWER

The BIDaWIZ Team's Answer:

If the winnings are reported to you, on a Form 1099-G,

you need to report the gambling winnings, and deduct the

gambling losses, up to the amount of the winnings, so that the

net tax effect effect equals $0. If the casino did not report the winnings,

then do not worry about it, since the losses exceed the winnings.

Otherwise, report the winnings, and deduct the losses, up to the

winnings amount, on Schedule A, of your Form 1040. Note that gambling

losses are exempt from the 2% AGI floor, for misc. itemized deductions.