Gotta pay taxes or something if i move? - Beginning Poker Questions

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Gotta pay taxes or something if i move?

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03-14-2010 , 05:13 PM

Iolz

centurion

Join Date: Jul 2009 Posts: 101

Right so im from England where i dont pay taxes on poker right?

and hypothetically if i moved to america i would have to pay taxes on poker?

So err, if i go to america and play poker do they just jam it from my BR monthly or some ****? Like how would i go about paying it?

thanks.

EDIT: 100th post. woop?

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03-14-2010 , 05:19 PM

A.Ertbjerg

Heisenbjerg

Join Date: Mar 2008 Posts: 10,770

Americans have to declare their winnings every year themselves. The poker sites aren't responsible to the IRS. So no money will be taken out of your account.

My guess would be that if you are required to pay US taxes, then you are also required to pay taxes on your poker winnings. If you aren't paying US taxes (but british taxes) then you shouldn't pay taxes on poker winnings. I am no lawyer though.

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03-14-2010 , 05:20 PM

OsTornado

Pooh-Bah

Join Date: Feb 2007 Posts: 3,730

Quote:

Originally Posted by A.Ertbjerg

I think this is the case. If you're seriously considering it though, I'd talk to a lawyer, or research it yourself. Probably not too difficult to find.

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03-14-2010 , 05:26 PM

Iolz

centurion

Join Date: Jul 2009 Posts: 101

Thanks for the responses, im 18, but my mind is still similar to a 10 year old

So err, if i was to live in america as an example. I would then no longer pay british taxes and switch to american ones?

And nah, i'm not seriously considering anything really, just interested. Probably just safer living with my mummy, she keeps me safe from the harsh outside world.

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03-14-2010 , 05:31 PM

Ice_W0lf

Tremendous

Join Date: Sep 2007 Posts: 13,530

That's something you should talk to a lawyer, accountant or tax professional about... I know that if an American goes to Britain and makes money, he is still responsible for paying US taxes... so I'm not sure if that works the other way around as well.

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03-14-2010 , 05:34 PM

A.Ertbjerg

Heisenbjerg

Join Date: Mar 2008 Posts: 10,770

It comes down to the specific agreement made between the US and the UK. Most likely there is some law to avoid double taxation but as a non-US non-UK I haven't looked into it.

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03-14-2010 , 05:43 PM

Iolz

centurion

Join Date: Jul 2009 Posts: 101

That's pretty good to know. Thankyou

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03-14-2010 , 05:49 PM

sambo707

veteran

Join Date: Dec 2008 Posts: 2,245

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triskaidekaphobic

im such a nerd ... i know what this means

lol

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03-14-2010 , 05:51 PM

Ice_W0lf

Tremendous

Join Date: Sep 2007 Posts: 13,530

it's ok..me too.

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03-15-2010 , 10:15 AM

#10

Tazbolton

grinder

Join Date: Feb 2010 Posts: 632

Keep all your poker accounts from the UK,

all @ your mums address or something & have it all to a UK bank!

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03-15-2010 , 10:24 AM

#11

Knytestorme

grinder

Join Date: Oct 2007 Posts: 602

For australia, if we earn income overseas from share dividends, working, rental properties etc then we have to pay income tax in the country that the income was generated in and we have to pay income tax on that income in australia BUT the amount of tax we paid to the overseas country can be claimed against that income here.

it's convoluted but essentially this:
1. Earn $10k in the US, pay 10% tax = $1k
2. $10kUS gets added to australian income (say $60k) and taxed so tax wound be about $15k total
3. $1kUS gets removed from income bill.

From my understanding, most 1st world countries have a franking credit system similar to this.

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03-15-2010 , 11:07 AM

#12

V0dkanockers

old hand

Join Date: May 2009 Posts: 1,732

Here is the tax treaty between the US and UK. I hope you understand barrister language.

www.irs.gov/pub/irs-trty/uk.pdf

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