What's the most convenient method for you to repay the 1%? Stars or PayPal?

I said in the email that dollars were by far most preferable method, but I'm flying tomorrow and expected this to be done by now (no probs that it's not dw) so can only really receive stars.

My sn is pads1161

Stars would be ideal for me also.

Just got the email from the accountant and sent my info back to them.

I could take a portion of my payout on Stars (like 10K to a friend's account) and then the rest via a bank transfer/deposit (I have WF & Chase) if that helps. Or just all on bank transfer.

No need for a W9 from me I'm guessing as he said only if you're a citizen or resident in the email? I am neither of those, I'm both a British citizen and resident here, so assume I can just have my portion paid out.

So Justin's tax accountant pretty matter-of-factly told me they will be withholding 28% of my payout because I selected "Individual/Sole Proprietor" on my W-9, despite the fact I'm obviously not any of the other options and have filled out this form the exact same way for tons of previous transactions (and did so on the advice of a tax advisor). I have never had this issue before. Anyone else get this reply?

What's the point of completing the W-9 if they're going to withhold 28%? This doesn't make any sense. I wouldn't have sent my info if that's the case. I just emailed the accountant. I'll let you know his response.

Some clarification here would be nice before I send this form in...

same problem here...

I've DM'd Justin about this and he said he wasn't aware of it, but had no other reply. I'm leaving now to go camping and will be off the grid for a few days so won't be able to follow up (or submit any further info they might need), but I hope Justin and the others affected will make sure this gets resolved (i.e. really can't accept withholding).

BTW, no one else has been prompted for payout/bank deposit info right?

Sorry about this everyone. My accountant mentioned nothing to me about withholding, and I heard about it first from you guys. Saying I'm not happy about this would be an understatement

Trying to find a workaround with him. Possibly with W2Gs there will be no withholding required?

It's also the first time I've been asked to complete tax forms for a US win, either I've been doing it wrong all this time or it's not necessary?

No taxes as I'm a UK resident so shouldn't be anything withheld either.

You do need to fill out a form so that I'm not liable, but you should have no withholding and shouldn't have to pay anything.

You should just have to get a W9 from US residents and a W8-BEN from residents of tax treaty countries and then issue each person a 1099. I'm not a tax professional but I've spoken with Russ Fox about this and he's generally regarded as the most knowledgeable accountant about gambling taxes.

http://forumserver.twoplustwo.com/18...eeded-1206401/

In his latest response, the accountant said that if i don't want anything withheld that he'll send a W2-G instead of a 1099. This seems odd to me. I've only received that form from a casino, not a person. Is this standard?

The instructions for form W-2G don't specifically say that it isn't right, however I've never heard of it being done this way.

Weird that the accountant isn't sending 1099-misc (in January) with the info from the W-9s and no withholding. Justin won't be held liable for each individuals taxes if he has a record of showing payments to them. His accountant shouldn't be worrying about the investors' tax liabilities unless he is their accountant also.


***I'm not an accountant or tax lawyer - just passing on my past experiences.***

Just came down from the mountain to get supplies and also got the reply from the accountant they want to issues me a W-2G and require my driver's license.

I'm sorry but I just can't imagine that of all the times we've done transactions for staking or buying pieces we've been doing it wrong and this one accountant is the only one who knows the correct process for gambling transactions.

I've tweeted Russ Fox to see if he will be willing to comment on this issue not that it will make any difference but curious to hear what he will say on why this accountant is handling it this way.

Either way, just going to submit all my personal info because I don't want to wait another week (or even a year after taxes) to get my money.

Have sent my W8BEN across to the accountant as well, hope to have it all in order soon!

Assuming a full and complete Form W-9 is provided (name, address, taxpayer identification number, and the Form W-9 is signed), there should be no withholding on a Form 1099-MISC (unless backup withholding applies). From the IRS: There is no difference in the withholding rules when issuing a 1099-MISC or W-2G. If withholding is required for a 1099, it's required for a W-2G; if withholding is not required for a W-2G, it's not required for a 1099-MISC.

For non-Americans, there will generally be 30% withholding unless the recipient:
- Provides a completed Form W-8BEN (name, address, ITIN, and date of birth);
- Is from a Tax Treaty country (vis-a-vis gambling);
- Signs the W-8BEN; and
- Notes the Country and Article of the Tax Treaty that exempts the income from gambling.

So it is possible withholding is required for, say, residents of the UK if they either do not have an ITIN or do not provide a completed Form W-8BEN.


-- Russ Fox

Thanks Russ. I'll send this to the accountant.

I sent Russ' response to the accountant. He said that he knows Russ and will reach out to him later this week. He mentioned that Russ is on vacation until Friday. The accountant mentioned that there was a tax change in Sept. 2015 that may impact these type of situations, but he didn't go into any detail on the changes. I'm assuming more details will be flushed out after they speak.

He also stated: "I believe it is best Russ and I go over it when he returns in a few days. Don’t worry, everything will work out."

I'm hoping to do all payments on July 26th, which is when the money will be available to me.

I did the entire cash out via check. Took me a week to find a time to go to the bank, and when I did they told me to come back another day because it was after 4pm and they couldn't get it verified because the appropriate phone # at the Rio closes at 4.

Took me another week to have a free morning again. That time they told me it would take 10 business days for the check to clear. It will become available on either the 25th or 26th.

If anyone is having any problems with my accountant, please let me know.

Sorry for the delay but it was obviously an extremely busy time for me with a different high roller tournament every single day.

No issues with the repayment dare, 26th will be fine - would appreciate Stars!

Have sent two emails now though to the accountant to confirm everything is good and in order with my W8 and have had no responses, so would be good to just get some confirmation on that so I can make any amendments in the meantime should they need to be made.

Thanks once again!