Sweepstakes Winnings - Can you offset with Scratch Off Losses?

Reply #8

GeneralShamu — Mon, 05 Jul 2010 15:14:39 GMT

Thank you Raven62. Though this is not what I want to hear...:(

Do you know if there is a way to write off 'Other Income' or what the tax rate is on it

Reply #7

Raven62 — Mon, 05 Jul 2010 14:02:57 GMT

According to the IRS' Instructions for Form 1099, sweepstakes sponsors are required to submit a 1099 form for prizes and awards that are not for services, such as winnings on TV or radio shows if those prizes are valued above $600.

The IRS says you must report your sweepstakes winnings as Other Income no matter what the value.

Sweepstakes prizes are not the same as gambling winnings under the IRS rules. They are reported and taxed differently.

PS: This information is the result... [ More ]

Reply #6

GeneralShamu — Mon, 05 Jul 2010 13:37:24 GMT

It's from JD Power and Associates.

Reply #5

rdgrnr — Mon, 05 Jul 2010 02:24:18 GMT

I see a red flag with filling out a survey and actually getting money.

Did you actually receive the money

Reply #4

GeneralShamu — Mon, 05 Jul 2010 02:01:11 GMT

I didn't have to pay to enter this sweepstakes. I filled out a survey for something and was entered into a sweepstakes as a result...and won...

Reply #3

RJOh — Mon, 05 Jul 2010 01:12:49 GMT

Did you keep track of all the sweepstakes entries you bought

Reply #2

Stack47 — Mon, 05 Jul 2010 01:04:15 GMT

Check the IRS website, but I don't think sweepstakes prizes are considered gambling winnings because you didn't pay anything to enter.

Reply #1

sully16 — Mon, 05 Jul 2010 00:49:59 GMT

ask an accountant.

Sweepstakes Winnings - Can you offset with Scratch Off Losses?

GeneralShamu — Sun, 04 Jul 2010 19:54:32 GMT

I was recently the winner of a $1,500 sweepstakes prize and this will be reported to the IRS. I know that you can offset gambling winnings with losses on scratch off tickets.

Can you do the same with sweepstakes winnings?

I live in the state of NJ and the sweepstakes if from California.