***Official 2012 Where's my f***in money FTP Thread***

[NCSU07]

I'm curious if now that I live abroad will I get my severely reduced abroad tax rate applied to my FTP money (I'm guessing I do) or do I have to pay what every other murrican does?

[jimmyvjv13]

Song's account represents 60% of US player balances which is why they pushed the date back.

[zachvac]

Originally Posted by NCSU07

I'm curious if now that I live abroad will I get my severely reduced abroad tax rate applied to my FTP money (I'm guessing I do) or do I have to pay what every other murrican does?

wtf do you mean with tax rate being applied to your FTP money? It astounds me how many professional or semi-professional poker players don't even understand the super basics of how taxes and poker work. You are not taxed on balances, cashouts, etc. You should have been paying taxes as you won the money. They almost definitely won't take money out for taxes just because your entire balance could have consisted of post-tax money if for example you lost money from January - April that year. Most likely they will share the numbers with the irs and use that info in deciding whether to audit you after you file your taxes for that year. Poker winnings tax is just the income tax, so I don't know the rules about Americans living in w/e country you're living, but if you pay a lower income tax you would pay a lower rate on any FTP winnings which has absolutely nothing to do with FTP deposits and cashouts.

[TucoRamirez]

I am incorporated and my cpa had me paying quarterlies on the estimated money that i would make (going by what i made the previous year). I paid taxes for 2 quarters in 2011, but since I never received my winnings my cpa filed it as a loss (if I remember right) and I got a refund on the quarterlies that I paid.

Does my cpa have a clue what he's doing?

[DamnRinger]

Originally Posted by TucoRamirez

I am incorporated and my cpa had me paying quarterlies on the estimated money that i would make (going by what i made the previous year). I paid taxes for 2 quarters in 2011, but since I never received my winnings my cpa filed it as a loss (if I remember right) and I got a refund on the quarterlies that I paid.

Does my cpa have a clue what he's doing?

exactly what my CPA did, but I only paid one quarterly and still owed money at the end of the year... but same thing.

that's pretty standard fwiw... as long as you didn't tell him you paid all 4 quarterlies and you got refunded for that amount.

[TucoRamirez]

Originally Posted by DamnRinger

as long as you didn't tell him you paid all 4 quarterlies and you got refunded for that amount.

Please explain like I'm 5. What's the problem with this?

Also, how did you still owe money? Live poker?

What's the deal with paying every quarter anyway? Why is that better than paying on the whole year? Something to do with corporate tax laws?

[Jaysick88*]

You pay quarterly to avoid interest. Most people have tax withheld as its earned. As a poker player this is not the case. The interest is pretty minimal in the grand scheme of things but if poker is your sole source of income and you wait until the end of tr year to remit taxes, you may end up with a 4 figure penalty. It had nothing to do with corporate vs. individual.

If you don't pay quarterly, the penalty is basically like interest on a loan. There Are some more intricacies with estimates based on prior year wAges but nothing anyone should care about unless they are a tax accountant.

[CLB]

Originally Posted by TucoRamirez

I am incorporated and my cpa had me paying quarterlies on the estimated money that i would make (going by what i made the previous year). I paid taxes for 2 quarters in 2011, but since I never received my winnings my cpa filed it as a loss (if I remember right) and I got a refund on the quarterlies that I paid.

Does my cpa have a clue what he's doing?

I'm no CPA, and I didn't even bother to hit a Holiday Inn Express last night, but I think that if you claimed FTP monies as a "loss" then you may need to pay taxes on them as you withdraw them. That was the way my CPA explained it to me, or rather that was the way I interpreted what he said to me.

If your CPA has his crap together even a little bit then he should be able to tell you how to proceed.

[NCSU07]

Originally Posted by zachvac

wtf do you mean with tax rate being applied to your FTP money? It astounds me how many professional or semi-professional poker players don't even understand the super basics of how taxes and poker work. You are not taxed on balances, cashouts, etc. You should have been paying taxes as you won the money. They almost definitely won't take money out for taxes just because your entire balance could have consisted of post-tax money if for example you lost money from January - April that year. Most likely they will share the numbers with the irs and use that info in deciding whether to audit you after you file your taxes for that year. Poker winnings tax is just the income tax, so I don't know the rules about Americans living in w/e country you're living, but if you pay a lower income tax you would pay a lower rate on any FTP winnings which has absolutely nothing to do with FTP deposits and cashouts.

Obv you had no idea what I was talking about and my language was a little bad. This year my tax rate will be far less than last year bc I am abroad and just recently exempt from social security. I "made" the money last year so my question was do I amend last years returns or add it to 2012. Apparently its the latter so ez game.

[sparky999]

Does that money still count as income, since now you are technically victims of a crime claiming remission rather than professional poker players cashing out winnings?

What happened to Madoff victims for example did they pay tax on the money they got back?

[case3]

What does this mean for US players’ taxes? That income that wasn’t constructively received in 2011 will likely be constructively received in 2012. That means you will need to report your Full Tilt income on your 2012 tax returns. You may need to adjust your fourth quarter 2012 estimated payment.

At least I'll be in a lower bracket.

[CLB]

Originally Posted by sparky999

Does that money still count as income, since now you are technically victims of a crime claiming remission rather than professional poker players cashing out winnings?

What happened to Madoff victims for example did they pay tax on the money they got back?

Ugh. That's a good question and one that I hadn't considered at all. If I have to pay taxes on this $ a second time I will be pissed. But then I will remind myself that I wasn't really planning on seeing any of it and I'll be cool again!

[jimmyvjv13]

Originally Posted by CLB

I think that if you claimed FTP monies as a "loss" then you may need to pay taxes on them as you withdraw them. That was the way my CPA explained it to me, or rather that was the way I interpreted what he said to me.

If your CPA has his crap together even a little bit then he should be able to tell you how to proceed.

This is my sentiment as well.

[jimmyvjv13]

Originally Posted by DamnRinger

not sure how I missed this post but A++++

"I'm so excited"
"I'm so excited"
"I'm so.... scared"

[DamnRinger]

apparently too many young people ITT who didn't grow up with jesse's caffeine pill addiction.