Taxes on gambling winnings

Just curious how gambling winnings while on board in international seas is treated? Do you receive a 1099? Or no since you're "international"... Do you pay foreign taxes on it? Thanks! As you can see... I am planning to win [emoji23]

Just curious how gambling winnings while on board in international seas is treated? Do you receive a 1099? Or no since you're "international"... Do you pay foreign taxes on it? Thanks! As you can see... I am planning to win [emoji23]

You have to fill out a W2G for jackpot winnings (single spin, hand) over about $1000. I don't really remember the amount but I had to back in 2008 when I won $2500 on a single spin on a quarter machine.

They don't take any tax out and I actually forgot to include it in my taxes, but I did get a win/loss statement that would have offset my winnings.

On my last B2B I won a total of $3400, but all the winnings were under $1000 at a time so I didn't have to claim them.

The amount at one shot is 1200. So anything under 1199 is good, but I was curious about the international waters.

Thanks a bunch for the info :)

With few exceptions, US citizen is required to report all income from anywhere in the world. The $1200 limit is the threshold for the casino to report.

The cruise ships follow the guidelines even in International waters because they wish to continue doing business in the US.

There are other laws rules to follow including that pesky one on your customs form about carrying more than $10,000 in cash. Would be a shame if you won that much, even if in small amounts, only to have it confiscated.

I received a 1099 on ship when I won, 5,820 on keno. I also did get a win/loss statement to offset taxes. If you hit a jackpot on ship it is taxable for US citizens anyway

There are other laws rules to follow including that pesky one on your customs form about carrying more than $10,000 in cash. Would be a shame if you won that much, even if in small amounts, only to have it confiscated.

You could take that money and deposit it to your sail and sign account and they will issue you a check with your statement or mail it to you.

Hubby received two 1099's last year while on the ship.

All earnings, you make must be reported. This includes anything internationally. Even if you do not receive a 1099, you are still obligated to pay your taxes.

All earnings, you make must be reported. This includes anything internationally. Even if you do not receive a 1099, you are still obligated to pay your taxes.

Unless you are Willie Nelson right?;)

1299 lol

Yep. Hit a $2,000 slot jackpot the day before the cruise ended. During the middle of the night on the final night, along with the room folio, someone was nice enough to slip a W2G form under my door. No taxes were withheld at time of winning.

It gets reported as income on your 1040. You can offset documented gambling losses if you take itemized deduction. If you take the standard deduction, you can not offset losses. You can not just offset losses and not report your winnings. If you do, you can more than likely expect a notice from the IRS a couple of years later with a tax due notice. The ship also sends a copy of the W2G to the IRS, so when they receive your tax return with no reported gambling winnings - red flag.

Thanks constipated cruiser... I actually am a CPA. Which was why the questions regarding international tax.

Also typically you can request that they withhold. Or you can always start playing some scratch lotto tickets to offset some of those winnings ;) just keep them for 3 years!

Having to pay taxes on winning BIG is not a bad thing! Way better than losing! :D

Just as a note, Royal Caribbean doesn't issue any W-2Gs. I guess they trust us to self-report our winnings. :D

Yes they issue a W2G if Win over $1,200. (not a 1099)

I was surprised first time it happened. Really didn't think they did that.

But like CPA said, You're suppose to report all your winnings anyway.

So, get Win/Loss statement, if you need to offset your W2G's.

Just as a note, Royal Caribbean doesn't issue any W-2Gs. I guess they trust us to self-report our winnings. :D

X2

I can confirm Royal does not issue W2-G's for slot wins of any amount. Also, they will not issue checks, even for very large sums of money. You will carry it off.

And, yes, I realize it is upon everyone to report all income to the IRS, regardless of if it's documented or not. But, Royal does not notify the IRS or US Customs of any slot or table wins. It's up to you.