What may a non-professional gambler deduct?
Nothing, if they do not itemize their deductions. The question most often asked here is “If I don’t itemize can’t I just net my losses against my winnings after all I won $2,500 but lost far more then that?” No. All your winnings are reported on line 21, “Other Income” and your losses are reported as miscellaneous deductions on Schedule A. So if you don’t itemize you do not get to deduct them. ?What else may a nonprofessional deduct? Nothing. Entry fees to tournaments and re-buy fees are considered part of your losses. Ring game players calculate their gain or loss by the difference between the total of their buy-ins verses their cash outs. It is strongly recommended that a log be kept reflecting the details. At minimum the date, location, amount of buy in and cash out for each game they played should be kept. Professional players may report their winnings as business income on Schedule C if a Sole Proprietor or on a number of different forms or returns depending on how their business
