Quote:
Originally Posted by ScotchOnDaRocks
Umm what is so funny exactly?
My statement was 100% accurate
I disagree.
Please give an example of a live player's deductions that you think make your statement 100% accurate.
Few things to consider: A home office doesn't apply to live poker. Tips could be deducted, but in order to deduct them you need to acknowledge them as income. (So $104k would be around $114k). Travel and meals could be deducted, but let's say you spend $20k on travel and meals. That means you now only profited $84k. You could possibly deduct vehicle expenses, but they are prorated for personal vs business and hardly meaningful.
Then add in self employment tax of 15.3%.
Add in cost of benefits. Add in cost of paid vacation and sick time.
Now consider the probability of an audit if you declare yourself a professional gambler with deductions.
Now all that said I think the percentage of poker "pros" that even pay taxes on 100% of their winnings (with or without deductions) is very small. $104k with tax 'evasion' would make your statement more accurate.