Comments on: APCW Perspectives WeeklyTaxing Tournament Poker to Death? http://pokerati.com/2007/09/07/apcw-perspectives-weekly/ Poker News, Poker Skills, Poker Laws, Poker Lives Sun, 21 Mar 2010 21:21:36 -0500 http://wordpress.org/?v=2.8.6 hourly 1 By: Pokerati | Texas hold’em blog » Blog Archive » Chip Nicknames http://pokerati.com/2007/09/07/apcw-perspectives-weekly/comment-page-1/#comment-145974 Pokerati | Texas hold’em blog » Blog Archive » Chip Nicknames Sun, 27 Apr 2008 00:44:07 +0000 http://pokerati.com/2007/09/07/apcw-perspectives-weekly/#comment-145974 [...] Itsoverjonny’s comment on the post below has me thinkin’bout nicknames for chips used in cash-game poker and as casino currency. I know they exist, and know most a few three of them, but not all. Perhaps some of you who have played more regularly with the different denominations can help me fill in the blanks? Thanks in advance for your assistance. [...] [...] Itsoverjonny’s comment on the post below has me thinkin’bout nicknames for chips used in cash-game poker and as casino currency. I know they exist, and know most a few three of them, but not all. Perhaps some of you who have played more regularly with the different denominations can help me fill in the blanks? Thanks in advance for your assistance. [...]

]]> By: tom schneider http://pokerati.com/2007/09/07/apcw-perspectives-weekly/comment-page-1/#comment-107659 tom schneider Sat, 08 Sep 2007 23:48:23 +0000 http://pokerati.com/2007/09/07/apcw-perspectives-weekly/#comment-107659 25k chips at Bellagio are most commonly called pancakes. 25k chips at Bellagio are most commonly called pancakes.

]]> By: DanM http://pokerati.com/2007/09/07/apcw-perspectives-weekly/comment-page-1/#comment-107658 DanM Sat, 08 Sep 2007 22:59:43 +0000 http://pokerati.com/2007/09/07/apcw-perspectives-weekly/#comment-107658 So are $25k chips anywhere called cranberries, or only at Bellagio? I saw some $25k chips at Caesar's, and I believe they were brown in color. So are $25k chips anywhere called cranberries, or only at Bellagio? I saw some $25k chips at Caesar’s, and I believe they were brown in color.

]]> By: itsoverjonny http://pokerati.com/2007/09/07/apcw-perspectives-weekly/comment-page-1/#comment-107655 itsoverjonny Sat, 08 Sep 2007 15:39:47 +0000 http://pokerati.com/2007/09/07/apcw-perspectives-weekly/#comment-107655 Cranberries are Bellagio's $25,000 chips - named due to their color. Cranberries are Bellagio’s $25,000 chips – named due to their color.

]]> By: DanM http://pokerati.com/2007/09/07/apcw-perspectives-weekly/comment-page-1/#comment-107650 DanM Sat, 08 Sep 2007 05:40:22 +0000 http://pokerati.com/2007/09/07/apcw-perspectives-weekly/#comment-107650 ***beautiful Flags and Cranberries*** I think I know what a flag is -- $5,000 chip -- but what's a cranberry? Everything else you and Tom say makes sense. Doesn't sound bad at all. Yeah taxes! ***beautiful Flags and Cranberries***

I think I know what a flag is — $5,000 chip — but what’s a cranberry?

Everything else you and Tom say makes sense. Doesn’t sound bad at all. Yeah taxes!

]]> By: itsoverjonny http://pokerati.com/2007/09/07/apcw-perspectives-weekly/comment-page-1/#comment-107649 itsoverjonny Sat, 08 Sep 2007 05:28:22 +0000 http://pokerati.com/2007/09/07/apcw-perspectives-weekly/#comment-107649 Dan - This isn't any new "tax". It is simply a requirement that the payor withhold 25% of the payouts, just like any employer withholds from payroll checks. You taxes due are still determined in the same method as always, and the taxes on gambling winnings are calculated the same way as they were before this new rule. Basically, as Tom alluded to, it means that big tournament winners who manage to blow their winnings won't find themselves with a huge tax bill with their 1040 form the next year that they cannot afford to pay, and it's possible that they owe less tax than was withholded, in which case they are entitled to a refund. I'm guessing this is probably a pretty big problem, or this would not have been enacted. Also, keep in mind that other than casinos owned by Harrahs, most that I have encountered do not issue a W-2G at all. For instance, if you win a big prize at Bellagio, standard practice has been for them to give you racks of those beautiful Flags and Cranberries and other casino chips and send you on your way - no paperwork necessary. This practice will also tighten up a lot of winnings that probably go unreported and therefore untaxed. If poker players are whining, it's just because they will now have to be more diligent about their taxes like the rest of the country if they expect to pay the correct amount of tax and get refunds if they are so entitled. For some, it means that they are actually going to have to actually start filing returns and actually paying their taxes. Also, to answer your question on the other site, a Form 5750 basically allocates a payment correctly to the various recipients of the payment, eventhough the payor may have reported different amounts on the W-2G's that it filed with the IRS. For instance, let's say that you and I are heads up at the final table in a tournament, and the remaining prize pool is $100k for 1st and $50k for second. You and I agree to an even chop ($75k each) and play out the tournament for the bracelet. The casino is going to give one of us a W-2G for $100k and the other one for $50k along with the prize money/chips, and you and I would settle up on the chop. The Form 5750 allows us to report the actual allocation of the payment so that one of us isn't stuck paying taxes on the extra $25k that the other of us received. So basically, any time there is a chop or other arrangement that varies the payments from those that were scheduled, the 5750 comes into play. It should have always been used, but tournament winners that may have been less-than-diligent about their taxes before now need to be more careful to avoid paying the taxes of others. Another common application of a Form 5750 is if a group of people (for instance, an office pool) buy a winning lottery ticket. One person will likely "officially" claim the lottery winnings and have them reported to his SSN, and the Form 5750 is used to correctly report the allocation of the monies to the various winning parties. Dan – This isn’t any new “tax”. It is simply a requirement that the payor withhold 25% of the payouts, just like any employer withholds from payroll checks. You taxes due are still determined in the same method as always, and the taxes on gambling winnings are calculated the same way as they were before this new rule. Basically, as Tom alluded to, it means that big tournament winners who manage to blow their winnings won’t find themselves with a huge tax bill with their 1040 form the next year that they cannot afford to pay, and it’s possible that they owe less tax than was withholded, in which case they are entitled to a refund. I’m guessing this is probably a pretty big problem, or this would not have been enacted. Also, keep in mind that other than casinos owned by Harrahs, most that I have encountered do not issue a W-2G at all. For instance, if you win a big prize at Bellagio, standard practice has been for them to give you racks of those beautiful Flags and Cranberries and other casino chips and send you on your way – no paperwork necessary. This practice will also tighten up a lot of winnings that probably go unreported and therefore untaxed.

If poker players are whining, it’s just because they will now have to be more diligent about their taxes like the rest of the country if they expect to pay the correct amount of tax and get refunds if they are so entitled. For some, it means that they are actually going to have to actually start filing returns and actually paying their taxes.

Also, to answer your question on the other site, a Form 5750 basically allocates a payment correctly to the various recipients of the payment, eventhough the payor may have reported different amounts on the W-2G’s that it filed with the IRS. For instance, let’s say that you and I are heads up at the final table in a tournament, and the remaining prize pool is $100k for 1st and $50k for second. You and I agree to an even chop ($75k each) and play out the tournament for the bracelet. The casino is going to give one of us a W-2G for $100k and the other one for $50k along with the prize money/chips, and you and I would settle up on the chop. The Form 5750 allows us to report the actual allocation of the payment so that one of us isn’t stuck paying taxes on the extra $25k that the other of us received. So basically, any time there is a chop or other arrangement that varies the payments from those that were scheduled, the 5750 comes into play. It should have always been used, but tournament winners that may have been less-than-diligent about their taxes before now need to be more careful to avoid paying the taxes of others.

Another common application of a Form 5750 is if a group of people (for instance, an office pool) buy a winning lottery ticket. One person will likely “officially” claim the lottery winnings and have them reported to his SSN, and the Form 5750 is used to correctly report the allocation of the monies to the various winning parties.

]]> By: Tom Schneider http://pokerati.com/2007/09/07/apcw-perspectives-weekly/comment-page-1/#comment-107646 Tom Schneider Sat, 08 Sep 2007 00:14:59 +0000 http://pokerati.com/2007/09/07/apcw-perspectives-weekly/#comment-107646 I don't think this is a big deal, but it might be of huge benefit to some poker players like a forced savings plan. Many players will get a nice refund at the end of the year. I don’t think this is a big deal, but it might be of huge benefit to some poker players like a forced savings plan. Many players will get a nice refund at the end of the year.

]]> By: In the ‘Sphere - September 7th « Sphere http://pokerati.com/2007/09/07/apcw-perspectives-weekly/comment-page-1/#comment-107638 In the ‘Sphere - September 7th « Sphere Fri, 07 Sep 2007 14:12:12 +0000 http://pokerati.com/2007/09/07/apcw-perspectives-weekly/#comment-107638 [...] of Nuance; Know Man Soul; Mediaups; Wittman Webweaving; Dust my Broom; Korean Unification Studies; Pokerati and our favorite new political widget this week at Bang the Drum. If you don’t know these sites, [...] [...] of Nuance; Know Man Soul; Mediaups; Wittman Webweaving; Dust my Broom; Korean Unification Studies; Pokerati and our favorite new political widget this week at Bang the Drum. If you don’t know these sites, [...]

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