Gambling taxes in your winnings are now no longer exempt. When you are a U.S. citizen you owe Uncle Sam a chunk, regardless if won right here or in a single other country. The IRS considers all playing winnings taxable earnings, despite the indisputable fact that it is an amount that does now no longer gain reported to the IRS by the payer, adore that $20 rep on a scratch off ticket, or a lucky $250 when your numbers hit, even a $1,000 jackpot in your current slot machine. Sadly, playing taxes are due.