Gambling taxes to your winnings are not exempt. Whilst you are a U.S. citizen you owe Uncle Sam a fraction, regardless if obtained right here or in a foreign nation. The IRS considers all gambling winnings taxable earnings, even though it be an quantity that would not bag reported to the IRS by the payer, like that $20 pick on a scratch off label, or a lucky $250 when your numbers hit, even a $1,000 jackpot to your favorite slot machine. Sadly, gambling taxes are due.