9. Another tax question regarding additional deductions.
Date: Sun Jan 4, 2009 1:30 pm ((PST))I play the California Lotto "Fantasy5" and I have won twice this year!
I also have a W2G, for a RF, from the CA Pala Casino.
As long as I keep tract of all of my losses, can I apply my lotto
losses to the VP gains and visa versa? That is, merge all the
winnings and losses, from all games, together for one figure?What are some of the other deductions? Can I deduct travel mileage?
Meals. And assuming that I had to pay for them, hotel rooms ? Other
expenses ? Books? Computer software ?I have already requested that all the casinos, I have played at, send
me a statement of my winnings and losses.That else do I need ?
My understanding (and there are better experts out there) is that you can deduct all your losses against your winnings, deduction not to exceed your winnings. Expenses incurred in gambling but not actually gambling losses are not deductible unless you are a professional gambler, and I don't know what it takes to qualify, but I think it at least has to be your primary source of income. I hope you kept your losing tickets, plus copies of any you turned in that lost (e.g., bought a $5 ticket that paid $1) as documentation of your losses, as you will need to be able to document these deductions just like any others if they audit you.
A written record of lottery purchases and losses MAY be found sufficient documentation, and having losing tickets in your hand may not be sufficient (you can pick them up on the floor, etc.), but the more documentation, the better. Same goes for the casino win/loss statements, which also should be supplemental to, but not in place of, your own documentation / gambling log.
--BG
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