Gambling taxes for your winnings are no longer exempt. Whenever you may maybe well perhaps very smartly be a U.S. citizen you owe Uncle Sam a chunk, regardless if won here or out of the nation. The IRS considers all playing winnings taxable earnings, despite the truth that it is an amount that does no longer get reported to the IRS by the payer, savor that $20 get on a scratch off tag, or a lucky $250 when your numbers hit, even a $1,000 jackpot for your favorite slot machine. Sadly, playing taxes are due.