Gambling taxes in your winnings are no longer exempt. For fogeys that is prone to be a U.S. citizen you owe Uncle Sam a half, regardless if acquired here or in a international nation. The IRS considers all playing winnings taxable profits, even supposing or no longer it is an quantity that does no longer procure reported to the IRS by the payer, devour that $20 have interaction on a scratch off imprint, or a lucky $250 when your numbers hit, even a $1,000 jackpot in your accepted slot machine. Sadly, playing taxes are due.