Gambling taxes on your winnings are no longer exempt. In case you are a U.S. citizen you owe Uncle Sam a fragment, regardless if received right here or in a foreign country. The IRS considers all gambling winnings taxable profits, despite the fact that it’s an quantity that does no longer procure reported to the IRS by the payer, admire that $20 bag on a scratch off price, or a lucky $250 when your numbers hit, even a $1,000 jackpot on your authorized slot machine. Sadly, gambling taxes are due.