How increased tax form trigger would affect big slot winners

Author: Live Casino Direct
 
How increased tax form trigger would affect big slot winners
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The $1,200 threshold for jackpot-winning slot machines and video poker players has been in effect since 1977. The Shifting Limits on Thresholds act is making its way through the House of Representatives. It follows a Congressional directive in December 2020 asking the Treasury Department to look into raising the trigger.

The threshold for reporting a jackpot is being increased to $5,000. Jackpots of up to that amount could be credited to the machine. However, changes in the way jackpots are paid would have to be approved by state gaming boards.

There is no change to the anti-money laundering laws. Casinos draw a line at transactions of more than $3,000. Fewer hand pays mean fewer opportunities for attendants to collect tips. If the win pushes the total past $2,800, a ticket for the jackpot is printed. If it doesn't, the machine leaves the rest on the meter.

The IRS still considers gambling winnings as taxable income.