vpFREE2 Forums

A "Taxing" Question

#1

Last night I was at the Spa Casino in Palm Springs attending a big
drawing. Millions of slot points were being given away. But with
a "drum full" of tickets my chances were slim. And, sure enough, my
name was never called.

I did have some luck in another respect. I was dealt three to the
royal on the bottom line of a MultiStrike machine and drew the other
two cards. So now, time to be paid and on to the nature of my post.

The attendant took my identification and asked if I wanted taxes
withheld at a rate of 25%, equal to $1000 of my jackpot. I had to
think for a moment. Though ahead a bit for the year, it was "only"
February 28. We all know any year can turn "ugly" in a flash. So, not
wanting taxes withheld on what could be a losing year, I declined.

I'm wondering if the option to withhold 25% is a new procedure,
because this is the second time since Jan 1 that I have been made
that offer. And I can't recall a single occasion in a prior year when
anyone ever mentioned taxes.

Is it possible the IRS has instructed casinos to make the offer?
Might the U.S. Treasury be in such bad shape that this is a way to
raise a bit of revenue? Even if you eventually had the withheld funds
refunded the government will still have the use of it for awhile.

Just wondering.

#2

Personally, if I wanted to 'advance' a portion of my current year's
taxes to the IRS, I would send a check to them myself - rather
than relying on an Indian casino to do it for me. Even though
they will give you a document acknowledging the taxes withheld
from the jackpot, mistakes can happen. That money just might
not make it to the IRS. Then, you would have to deal with the
IRS representatives and prove to them that the money was,
in fact, taken by the Indians (to forward to the IRS on your behalf).

No thanks.

For me, I would feel better having a cancelled check as proof
of my payment to the IRS.

Curtis

···

On 3/1/09, mikeymic <mikeymic@yahoo.com> wrote:

Last night I was at the Spa Casino in Palm Springs attending a big
drawing. Millions of slot points were being given away. But with
a "drum full" of tickets my chances were slim. And, sure enough, my
name was never called.

I did have some luck in another respect. I was dealt three to the
royal on the bottom line of a MultiStrike machine and drew the other
two cards. So now, time to be paid and on to the nature of my post.

The attendant took my identification and asked if I wanted taxes
withheld at a rate of 25%, equal to $1000 of my jackpot. I had to
think for a moment. Though ahead a bit for the year, it was "only"
February 28. We all know any year can turn "ugly" in a flash. So, not
wanting taxes withheld on what could be a losing year, I declined.

I'm wondering if the option to withhold 25% is a new procedure,
because this is the second time since Jan 1 that I have been made
that offer. And I can't recall a single occasion in a prior year when
anyone ever mentioned taxes.

Is it possible the IRS has instructed casinos to make the offer?
Might the U.S. Treasury be in such bad shape that this is a way to
raise a bit of revenue? Even if you eventually had the withheld funds
refunded the government will still have the use of it for awhile.

Just wondering.

[Non-text portions of this message have been removed]

#3

You make a good point I hadn't considered.

But if the Mirage, or Venetian, or any other non-Indian casino offered
I would still decline only because it is too early in the year to know
how I will finish. I'm still wondering, though, if this "offer" is a
new IRS tactic. Anyone being asked in Vegas or AC?

···

--- In vpFREE@yahoogroups.com, Curtis Rich <LGTVegas@...> wrote:

Personally, if I wanted to 'advance' a portion of my current year's
taxes to the IRS, I would send a check to them myself - rather
than relying on an Indian casino to do it for me.

#4

I'm still wondering, though, if this "offer" is a

new IRS tactic. Anyone being asked in Vegas or AC?

Your post reminded me that years ago - perhaps 5 - 10 years ago - I
remember that when I received paper pays, at least one casino would ask
if I wanted anything withheld.

No idea where that was, although it was almost certainly an Indian
casino.

···

--- In vpFREE@yahoogroups.com, "mikeymic" <mikeymic@...> wrote:

#5

Your post reminded me that years ago - perhaps 5 - 10 years ago - I
remember that when I received paper pays, at least one casino would

ask

if I wanted anything withheld.

No idea where that was, although it was almost certainly an Indian
casino.

I know Mohegan Sun was doing that a few years ago, but I don't remember
for sure if it was fed or state taxes.

--Dunbar

···

--- In vpFREE@yahoogroups.com, "jw776655" <jw776655@...> wrote: