It is considered additional income is how it is taxed. Sort of like an investment.

I agree with the notion that taxing gambling winnings is a crock. However, the discussion is when not if there should be a tax or not. I do not think there should be one. But there is, and I feel it should be taken out at the time of winning.

So, what is this about, then? You're gunna either get the money back the following year, or you're gunna have to give it up in tax. If you have a hit in January, then you don't get that 25% back(if you're due it) for a whole year. So, it's a question of the gov't making interest off your money?

Exactly my point....I just feel that it is better for the gov't to take it upfront than at the end of the year. Just like they do in a paycheck. Do you think it would be prudent for the gov't to rely on the public to pay their taxes at the end of the year instead of when they get paid?

But that is how it works with your paycheck. So why should gambling winnings or any other type of winnings be any different?

Dont get me wrong....I do not think there should be taxes on gambling winngs from a pool that is produced by post taxed money. But it is going to be taxed and I feel that it should be taken up front.

They may not get it...Obama is going to reduce taxes on 95% of the people working--joke.

Well, I don't agree with taking it when you hit. If they want to note it(like if ya hit for $1000 on a p3,) that's one thing, but a lot of people get this money back. So, why should they get to take that money and make interest off it? You're saying people aren't disciplined enough to avoid gambling the money away? It's a good point, but aren't your taxes due the following year. Why pay them early(especially when you are often gunna get the money back anyways.)

Pay them early to ensure that the taxes are paid. That is the only reason.

Response
 

I sent mine in a few days ago, just got this response:


Unless I mis-read this, it seems to me my Congressman basically ignored everything about my e-mail except for the topic.

shocking

Sent. Now to cash some big tickets

That dude needs a phone call from you.

Basically it is how it works with your paycheck, except that it is ultimately your option on how much of your paycheck goes to taxation. You can always claim a larger number of dependents, allowing the government to take very little, manage your own money throughout the year (i.e. savings account, where YOU get the interest instead of the government), and then pay the taxes at the end of the year.

Why should everyone suffer because of a law intended to protect stupid people that can't manage their money? All horseplayers hurt with a law such as this because it hurts the churn by taking money out of the pools...

Something tells me the Representative, him/herself, didn't type out that email.

I'm just waiting to see if others get similar responses.
I'm not the least bit surprised by the response I received.

Exactly why he needs a phone call. His 18 yr old intern that responded to Seth is going to turn off his constituants if he/she randomly answers e-mails by matching a couple key words.

I would just politely let him know that you weren't pleased with the response you got from his staffers and it may affect your future voting choice because you don't feel he is on top of the "issues". If he doesn't get re-elected, his gravy train ends and he may actually have to get a job.

With your paycheck, you can adjust your withholdings so that the amount of tax taken out is approximately what is owed and there is little to no overpayment.

One can't do that with what you propose. Why would it be prudent to give the government interest free use of my overpayment until refund time especially if i can balance out my gains with losses?