Casino Winnings Tax Information
USA Casino Tax
Understanding the Process of Casino Winnings Tax Recovery
If you have recently won a sizeable amount in a US casino and have been subject to winnings tax, it is important to learn as much as possible about the US casino tax refund for Canadians. According to the tax treaty between the two countries, Canadians can offset their losses against winnings. While winning any amount in a casino can be very exciting, you will soon be brought back to harsh reality when you realize that 30% of your winnings have been withheld from your winnings as taxes.
However, with knowledge about the US casino tax table games you will realize that there are many lotteries and casino games on which you are eligible to get a refund on these taxes. Some of these games include state lotteries, poker, blackjack, slot machines, keno and bingo. You should know that the entire refund process may take up to 16 weeks. You will need to fill out an ITIN application and submit it to the IRS. This number can be used for gambling refund as many times as you wish. You will also need to file a 1040NR. This is a tax return form which has to be filed by non-US residents for obtaining a refund on casino taxes.
You will need to keep in mind that refund can only be obtained on an eligible game and that you can offset your losses against winnings in the same year to get the refund. The entire process can be frustrating, lengthy and very confusing. Fortunately, there are a few firms offering US casino tax recovery services. These firms can guide you through the way to obtain a refund and act on your behalf. They will ensure that your refund is maximized and that the process is smooth.
The U.S. Canada Tax Treaty and How It Can be Helpful If You are A Canadian Gambler
If you are a Canadian gambler who loves to patronize casinos in the US, it is essential to know as much as possible about the U.S. Canada tax treaty. When you gamble in the US you will only be able to take home 70% of your winnings since the rest will be withheld as winnings taxes. The IRS has mandated that all Canadians must pay a 30% tax on the amount they win. However, Casino Tax Rebate can help you with casino tax recovery Canada.
Because of the tax treaty, Canadians can claim US tax recovery casino winnings from the IRS. Plenty of gamblers who are aware of this often attempt to get the recovery on their own. However, many of these are asked to send in original passports and basically follow a lengthy and very frustrating process which often amounts to nothing. There are no guarantees that you will get a refund even after following the entire process and filing for a refund.
You may not have full information about this tax treaty and may not know the taxation laws in detail. What’s more, the IRS can be difficult to work with and very intimidating. This is why using a firm like ours that specializes in US casino tax recovery for Canadians is the best possible course of action to follow in such matters, saving you from having to deal with the IRS on your own.
This process can be confusing, but with a little help from us an educated gambler can get a full tax refund.
Contact us today to start the process of your US Gambling Winnings Tax Recovery!