If the OP on this thread is to be believed, a disconcerting time consuming angle about online gambling in New Jersey has popped up on 2plus2 - Taxes on Winnings. Looks like it will impact the casino games players more than online poker players. Poker players have a knack of keeping track of their results.
http://forumserver.twoplustwo.com/22...e-w2g-1506396/
Don't know if it would be of any interest, but it certainly would be added fodder for "Adelson's RAWA Bill" to eliminate online gaming in the US. Write your senator and congressmen as stated above.
This is the tip of the iceberg on the handling of taxes. Instead of a simple win/loss calculation the Fed expects Winnings to be reported as income, and losses to be reported as a deduction - two different lines on the tax form. It is not a simple winnings minus losses calculation = net. (Contact your accountant or tax advisor for a complete understanding)
Part of the problem is
how confident the players are of software accumulating the information.
Granted, the NJDGE is supposed to be the watchdog for the players, but in lieu of the massive problems on Party/Borgata how can the player be confident that the numbers reported on the 1099 and W2G's are right?
This would especially impact the "recreational players". Picture a rec player getting a W2G for say $2k for winning online slot machines, or in the case of the OP in the forum, black jack, panic is going to set in.
The pursuit of a "fun time" online has now become a worrisome burden on all that have decided to partake of online gambling. Unlike B&M where small winnings are overlooked or win/loss is the total of all wins and losses combined, the tax code places a burden on the online player because he/she has winning being tracked by the online casinos and reported as such. The player has to keep track of the losses.
The first impact will not be felt for awhile, until IRS audits the first unlucky New Jersey Online Player. Hope it isn't a 2+2 participant.
As the first year of the "10 year experiment" in New Jersey, those that played online in 2014 are the Tax Guinea Pigs. And you thought the hard part of playing was getting geo-located??!!