Playing taxes in your winnings are no longer exempt. If you occur to are a U.S. citizen you owe Uncle Sam a part, regardless if gained right here or out of the country. The IRS considers all gambling winnings taxable earnings, even though it is an amount that does no longer gather reported to the IRS by the payer, savor that $20 preserve on a scratch off stamp, or a lucky $250 when your numbers hit, even a $1,000 jackpot in your licensed slot machine. Sadly, gambling taxes are due.