Taxable Winnings: How Much Will You Pay for Winning?
So you hit the jackpot at the casino last night, but you weren’t able to sleep. You were tossing and turning all night thinking about how much of your winnings you would have to surrender to the US government. The IRS requires players to report their winnings, and depending on how much you win, the casino may withhold 25-28 percent of your winnings for taxes.
What you owe to the IRS depends on your income plus your overall winnings. This infographic breaks down what you owe in taxes and which games will automatically withhold taxes from your earnings, depending on the table game or machine. Quit worrying and read on to figure out how much of your winnings you actually get to keep. One good thing to nopte is that the US government allows gambling losses to offset any winnings, so you only pay taxes on your net winnings.