Gambling taxes for your winnings are no longer exempt. Whereas you occur to are a U.S. citizen you owe Uncle Sam a allotment, regardless if obtained here or in a single other country. The IRS considers all playing winnings taxable earnings, even supposing it is an quantity that does no longer procure reported to the IRS by the payer, like that $20 hang on a scratch off ticket, or a fortunate $250 when your numbers hit, even a $1,000 jackpot for your popular slot machine. Sadly, playing taxes are due.