Playing taxes for your winnings are no longer exempt. Whenever you happen to are a U.S. citizen you owe Uncle Sam a fragment, regardless if gained here or overseas. The IRS considers all gambling winnings taxable earnings, although or no longer it is an amount that does no longer accumulate reported to the IRS by the payer, esteem that $20 steal on a scratch off trace, or a lucky $250 when your numbers hit, even a $1,000 jackpot for your accepted slot machine. Sadly, gambling taxes are due.