Quote:
Originally Posted by madcatz1999
Regardless of the effect it might have on player interest, I disagree with this statement. Just like 99% of the people that buy stuff online (eg. from Amazon) don't report those purchases like they're required to do, I'm willing to bet that the vast majority of people in the U.S. that win money from non-U.S. sites don't report their winnings to the IRS.
You make some very good points. But not being aware that you might owe some state sales tax from an Amazon purchase is a far cry from purposely and thoughtfully committing federal income tax evasion imo.
Likewise, although stating that the vast majority of players dont pay taxes might not be a totally unreasonable assumption, there is a distinction to be made between players that won taxable amounts and are not paying them out of ignorance, and players that are knowingly going out of their way to commit tax evasion as per the discussion. I would think that a fair percentage of the ones that have won taxable income playing online poker, which is a very small percentage of the player pool to start with in the first place, and havent paid are young and or ignorant to the tax laws in a lot of instances.
So fwiw and to my point regarding the original context of the discussion, I still would argue confidently that the majority of American players would not purposely avoid playing on US sites for the sole purpose of illegally evading taxes and that the perks of licensed and regulated US poker on a large scale would be more of an incentive than the ability to make tax dodging a little easier which is a marginal ability anyways as if anytime you get a check its not public knowledge of potential income to the government anyways especially these days.
Imo if any competent licensed and regulated sites get up and running in CA that would no doubt effect Bovada and other off shore sites player base substantially and negatively with regards to the business of Cali players even without legal penalties for playing on rogue sites, which is always a possibility as well, barring some ridiculous rake grab or other overreach.