Playing taxes for your winnings are no longer exempt. Whereas you happen to are a U.S. citizen you owe Uncle Sam a fragment, regardless if won right here or abroad. The IRS considers all playing winnings taxable profits, even though or no longer it is an quantity that does no longer discover reported to the IRS by the payer, admire that $20 make a selection on a scratch off tag, or a lucky $250 when your numbers hit, even a $1,000 jackpot for your accepted slot machine. Sadly, playing taxes are due.