New Hampshire: 10% tax on $600+ winnings: even from out of State!

XIIPointStables · #1 06-25-2009, 11:13 AM

Not a good day for handicappers in New Hampshire.

From the Union Leader...

Gambling winnings of more than $600 will be taxed at 10 percent. It applies to all who gamble here, and all state residents no matter where they gamble

Is this done in other States? How the heck would they collect it?

How will they track down my Mohegan Sun or Saratoga wins. And what if it costs me $80 to hit a $600 tri?

Seems pretty un-American to me. I need to move.

Edits: If I'm reading it correctly, it's basically an extra 10% tax on any W2-G you are issued...does that make sense?

Also, I added some text of the bill here and attached.

Here is the direct link to the budget: Crappy Gambling Tax

jwkniska · #2 06-25-2009, 11:46 AM

I also heard, haven't verified it yet, that you cannot deduct gambling losses from it too and that it doesn't matter how much you spend to get the $600.

IL tracks are the standard, $600+ and 300X the original bet generate a W2G. Casino play's just like being in Vegas ($1200 hit on machine generates one).
-------------------
first thing I'd do is to NEVER use a players card again (which would stink in a casino, as you'd lose all your comps), as that will be the first and best way for the state to track it.

Suffolk Shippers · #3 06-25-2009, 02:33 PM

I'd try and act surprised, but I am not in the least. This is NH we are talking about and granted, they live free or die, and have no sales tax or W-2 earnings tax, but they'll find any other way possible to squeeze some cash from you.

Indian Charlie · #4 06-25-2009, 07:31 PM

Quote:

Originally Posted by Suffolk Shippers

I'd try and act surprised, but I am not in the least. This is NH we are talking about and granted, they live free or die, and have no sales tax or W-2 earnings tax, but they'll find any other way possible to squeeze some cash from you.

Yeah, the live free or die state is complete bullshid. People are sheep in NH and generally have no idea just how unfree they have become. Especially with taxes.

They do like to brag about the no income tax thing though. Oh, and the no sales tax thing too, except for the things that they have sales tax on, of course.

Bobby Fischer · #5 06-26-2009, 06:54 AM

**** NH

typical of the stigma against horseplaying

johnny pinwheel · #6 06-26-2009, 07:30 AM

man, don't give ny any bright ideas

blackthroatedwind · #7 06-26-2009, 07:32 AM

Are we sure this is anything more than a 10% State withholding tax....or do we know that you can't write off losses against the winnings?

gales0678 · #8 06-26-2009, 07:40 AM

andy are there any states at all right now that allow you NOT to write off losers against the winnings?

also - andy

why does otb in nyc only take out federal tax and not state tax or city tax , shouldn't they be taking at all 3?

Scav · #9 06-26-2009, 07:46 AM

Quote:

Originally Posted by gales0678

andy are there any states at all right now that allow you NOT to write off losers against the winnings?

also - andy

why does otb in nyc only take out federal tax and not state tax or city tax , shouldn't they be taking at all 3?

In Illinois, you can not write off losses on your state return

gales0678 · #10 06-26-2009, 07:54 AM

Quote:

Originally Posted by Scav

In Illinois, you can not write off losses on your state return

when you hit the big p6 , you had to delcare all the money to ILL? you couldn't write a $1 off?

Scav · #11 06-26-2009, 08:20 AM

Quote:

Originally Posted by gales0678

when you hit the big p6 , you had to delcare all the money to ILL? you couldn't write a $1 off?

Yep, it wasn't fun.

gales0678 · #12 06-26-2009, 08:21 AM

Quote:

Originally Posted by Scav

Yep, it wasn't fun.

ouch! what was there take 7%?

XIIPointStables · #13 06-26-2009, 08:58 AM

Quote:

Originally Posted by blackthroatedwind

Are we sure this is anything more than a 10% State withholding tax....or do we know that you can't write off losses against the winnings?

That's why I posted it here in the first place. Was hoping someone brighter than me could read the attached bill itself.

I can't seem to find anything about it just be withholding; or that you can write off losses.

I emailed my tax guy with as of no no response.

And as an NH resident, I don't get all the hate on the Granite State. The legislature deserves it for not passing expanded gambling....AGAIN. But the people seem to be very much behind it.

Just wait till Massachusetts passes it and NH AGAIN is late to the party on an actual forward-thinking idea.

XIIPointStables · #14 06-26-2009, 09:34 AM

Yeesh, one tax blogs take:

http://www.taxabletalk.com/posts/1239927260.shtml

The gambling tax is particularly bad. The new tax is 10% on all gambling winnings above $600. While proponents noted that it would only impact big-time bingo games, what will be the impact on New Hampshire residents who head to a casino? The way the legislation is written it could impact professional gamblers residing in New Hampshire, and subject them to a 10% tax on their winnings. (Frankly, the legislation is so poorly written towards gambling that it will take court cases to determine what is or isn't being taxed.) I for one don't think it's worth taking a chance and for the professional gamblers out there it's definitely time to consider voting with your feet.

And as one other message board put it, the way it's written, it looks like say I bet $10,000 for the year and get back $9000 - I OWE New Hampshire $9000 on top of having lost $1000 on the year.

Need to get this figured out...