No More FBARs for Poker Accounts - Page 4 - Poker Legislation

HundredsOfStuff · 03-06-2011, 11:48 AM

Quote:

Originally Posted by repulse

Yep. Even if your entire roll was only ever as high as $9900, and you had it in eWallet A one day and then moved it all to eWallet B the next day, then the sum of the highest total of all third party processors is $19800 and you have to file.

I would assume you would have to report both ewallets then.

So expanding on this, could this also apply to wires that are more than $10k?

When you wire money out of your poker account, it doesn't come from your account. It comes from one or several intermediary foreign banks.

So doesn't that mean i would have file an FBAR and list every single foreign bank that the money passed through on every wire i made during the year?

wamplerr · 03-06-2011, 11:56 AM

Thanks Russ.

How about Sports Betting/Casino accounts? I would guess they are handled the same as poker accounts?

repulse · 03-06-2011, 12:42 PM

Quote:

Originally Posted by HundredsOfStuff

So expanding on this, could this also apply to wires that are more than $10k?

When you wire money out of your poker account, it doesn't come from your account. It comes from one or several intermediary foreign banks.

So doesn't that mean i would have file an FBAR and list every single foreign bank that the money passed through on every wire i made during the year?

Interesting question. My guess is that you don't have any sort of "account" with these intermediary banks, they are just processing a payment. But I'd be interested in an informed answer, I don't think this question has ever come up.

Quote:

Originally Posted by wamplerr

Thanks Russ.

How about Sports Betting/Casino accounts? I would guess they are handled the same as poker accounts?

I'm almost certain that they are. The IRS treats poker as identical to gambling anyway, and the role and nature of the sportsbook/casino account is the same as that of the poker account. The recent change to the rules that clarifies that poker accounts do not qualify (that they do not issue shares to the public like a mutual fund) would apply to these just as well.

NostraDonkus · 03-16-2011, 07:48 PM

If someone had not filed their FBARS for 2008 and 2009 and was intending to refile 2008 and 2009 to include them, should they still bother?

**PokerXanadu** · 03-16-2011, 11:24 PM

Quote:

Originally Posted by NostraDonkus

If someone had not filed their FBARS for 2008 and 2009 and was intending to refile 2008 and 2009 to include them, should they still bother?

To protect yourself, yes. The new rule applies to 2010 and beyond.

ukfan1687 · 03-21-2011, 02:54 AM

ewalletxpress has frozen funds and is under investigation by the FEDs. If we have money with them does it need to be reported for FBAR?

On the same note, is there a chance we will get the money back we have money on this site?

**PokerXanadu** · 03-21-2011, 07:33 AM

Quote:

Originally Posted by ukfan1687

ewalletxpress has frozen funds and is under investigation by the FEDs. If we have money with them does it need to be reported for FBAR?

Yes (if you meet the minimum requirement of total aggregate highest balance of $10K or more in foreign accounts - see the US Taxes sticky in this forum for details).

Quote:

On the same note, is there a chance we will get the money back we have money on this site?

Yes. Neteller went through the same frozen funds scenario. Players did eventually get their Neteller money back.

Mastodon · 04-02-2011, 06:18 AM

Just to be clear: If i don't have to file the FBAR for my poker accounts, does that mean i don't need to check "Yes" on Schedule B line 7a where it asks if i have any foreign accounts? I don't have any other kind of foreign account.

Mastodon · 04-06-2011, 04:20 AM

Bump

icallunoob · 04-18-2011, 02:51 PM

sweet, now to figure out a way to get the money off.......

Do Not Blink · 02-08-2012, 01:10 AM

Quote:

Originally Posted by Russ Fox

The Financial Crimes Enforcement Network issued new regulations this morning in the Federal Registry for FBARs. The new regulations substantially limit the types of accounts that are considered to be other foreign financial accounts. Suffice to say, poker accounts no longer need to be reported. I have more on my tax blog

-- Russ Fox

Hey Russ, I wanted to see if this is still your thoughts on the issue. 2011 saw me win a $10k plus online and for the first time hold an account balance over $10k in my Bodog acct. Is it something that I 100% dont have to file a FBAR on?

Quote:

Originally Posted by Russ Fox

As the rules were interpreted for tax years 2008 - 2009 by FINCEN, they should have been reported. The problem is (well, now 'was') that the Department of the Treasury is both judge and jury of whether you're in compliance or not. The approach of FINCEN has been like aiming a shotgun at a jaywalker. The penalties are so ridiculously large for minor infractions that this was a case where it was far, far better to be safe than sorry.

-- Russ Fox

This is the part that has me worried, I want to get this right

Quote:

Originally Posted by Mastodon

Just to be clear: If i don't have to file the FBAR for my poker accounts, does that mean i don't need to check "Yes" on Schedule B line 7a where it asks if i have any foreign accounts? I don't have any other kind of foreign account.

Love an answer to this question as well................

**PokerXanadu** · 02-08-2012, 05:38 AM

Quote:

Originally Posted by Do Not Blink

Hey Russ, I wanted to see if this is still your thoughts on the issue. 2011 saw me win a $10k plus online and for the first time hold an account balance over $10k in my Bodog acct. Is it something that I 100% dont have to file a FBAR on?

This is the part that has me worried, I want to get this right

Love an answer to this question as well................

Russ Fox answers here:
http://forumserver.twoplustwo.com/sh...0&postcount=21

That thread is the latest for FBAR issues/questions, so I'm closing this one.