Table of Contents Expand Table of Contents What Is Form W-2G? How It Works Reporting Requirements Withholding Requirements Reporting Your Winnings The Bottom Line Form W-2G: Certain Gambling Winnings, Guide, and Filing How-Tos By Beverly Bird Full Bio Beverly is a writer, editor, and paralegal specializing in personal finance and tax law. She covers personal financial and legal topics, as well as tax breaks, tax preparation software, and tax law terms for general readers. Learn about our editorial policies Updated August 28, 2025 Fact checked by Vikki Velasquez Fact checked by Vikki Velasquez Full Bio Vikki Velasquez is a researcher and writer who has managed, coordinated, and directed various community and nonprofit organizations. She has conducted in-depth research on social and economic issues and has also revised and edited educational materials for the Greater Richmond area. Learn about our editorial policies Part of the Series Federal Tax Forms How to Find and File Your Federal Tax Forms W- Forms Form W-2 Form W-2G CURRENT ARTICLE The Purpose of the IRS W-4 Form How to Fill Out a W4 Form Form W-8 Form W-9 1040 Forms Form 1040 Form 1040-NR Form 1040-SR Form 1040-V Form 1040X 1099 Forms The Purpose of 1099 Forms Things to Know About 1099s Form 1099-A Form 1099-B 1099 Forms C–H 1099-C Form 1099-CAP Form 1099-DIV Form 1099-G Form 1099-H 1099 Forms INT–OID Form 1099-INT Form 1099-K Form 1099-LTC Form 1099-MISC Form 1099-OID 1099 Forms PATR–SA Form 1099-PATR Form 1099-Q Form 1099-R Form 1099-SA Forms 706–1098 Form 706 Form 706-GS(D) Form 843 Form 1078 Form 1095-B Form 1098 Forms 1310–4070A Form 1310 Form 2441 Form 2848 The Purpose of IRS Form 2848 Form 4070A Forms 4506–8379 Form 4506 Form 4868 Form 5329 Form 5498 Form 6251 Form 8379 Forms 8396–9465 Form 8396 Form 8606 Form 8689 Form 8888 Form 8949 Form 8962 Form 9465 See More Investopedia / Michela Buttignol Close Definition Form W-2G is issued by gambling facilities to document certain taxable winnings. They must provide copies to the winner and the IRS. What Is Form W-2G: Certain Gambling Winnings? Form W-2G: Certain Gambling Winnings is a tax form used by taxpayers to report money earned from gambling activities to the Internal Revenue Service (IRS). The IRS requires that taxpayers report all income they receive from gambling just as they must report income from employment or investments. Taxpayers receive the form from casinos and gambling institutions and must report the income on their tax return. Key Takeaways Form W-2G is issued by gambling institutions to report a player's winnings to the IRS.The form identifies the winning gambler and how much money they received.Gambling institutions must also withhold taxes from the winnings in many cases.The fair market value of tangible prizes like vehicles must be reported as well.Winnings are taxable income and must be reported on Schedule 1 of Form 1040. How Form W-2G Works The Internal Revenue Code (IRC) cites gambling winnings as taxable income, and the IRS wants to know how much you win. This information is documented on Form W-2G. It identifies you, your Social Security or your taxpayer identification number, the type of wager made, and the value of anything you received in return. This includes cash winnings as well as the fair market value (FMV) of tangible prizes. Other key information includes: The amount of income tax withheld (federal, state, and local)The name of the localityThe amount of any identical wages The gambling institution must complete and submit Form W-2G to the IRS to document its winnings. It also sends you a copy so you can include this income on your tax return. Form W-2G also reports winnings to state and local tax authorities if you live in a jurisdiction that imposes an income tax and taxes gambling winnings. Form W-2G is available on the IRS website. Form W-2G Reporting Requirements Most winning wagers result in Form W-2G being issued by the institution or gambling facility if the prize is significant enough to meet IRS reporting requirements. The IRS defines reportable winnings as cash or the FMV of any tangible prizes received, such as a vehicle or vacation. It cites winnings from "lotteries, raffles, horse races, and casinos," but it stresses that reportable winnings aren't limited to these games and wagers. The reporting requirements depend on the game you played and how much you won. Form W-2G is required if you win $5,000 or more at a poker tournament or $1,500 or more playing keno. The limit is $1,200 for slot machines or bingo games and only $600 if your winnings are 300 times the amount of your wager or more. This classification includes gambling pursuits other than poker tournaments, keno, slot machines, or bingo. Warning The IRS auto-screens all incoming tax returns and notes if a return doesn't match up with any W-2 forms and 1099s on file for that taxpayer. It assigns your return a score, which effectively tags it for a second look by IRS personnel and a potential audit. Withholding Requirements In some cases, gambling institutions must withhold taxes from your winnings, just like an employer does from your pay. Withheld taxes appear in Boxes 4, 15, and/or 17 of your W-2G, depending on whether the withholdings were federal, state, or local taxes. Federal tax is withheld at 24% if your winnings amount to $5,000 or more and result from a lottery, wagering pool, or sweepstakes. The 24% rule applies if your winnings are 300 times the amount you bet or more. Taxable winnings are what remains after deducting the amount of your wager or other fees that were required for you to play and participate. Winnings may also be subject to backup withholding at the 24% rate. Poker tournament winnings, as well as those deriving from keno, bingo, or slot machines, fall into this category. Backup withholding would occur if your winnings exceed the thresholds for regular reporting requirements or if you fail to give your accurate Social Security or taxpayer ID to the gambling institution. Withholding on noncash prizes can be as much as 31.58%. Reporting Your Winnings How you report your winnings on your tax return depends on whether you're a professional gambler or someone who just likes to have a little income-producing fun on weekends. Professionals report on Schedule C just like any other self-employed individuals, contractors, sole proprietors, or other business owners. It's a little more complicated for the average taxpayer. You must file Schedule 1 with your tax return. The schedule includes a slot for gambling winnings on line 8b. Your winnings are calculated just as they are for withholding purposes. You can subtract your wagers from the total and report the balance. Gambling losses can be reported as well and effectively subtracted from your winnings, but you must file another form with your tax return to do this. Losses up to the amount of your winnings can be claimed on Schedule A to reduce your overall taxable income for the year, but you can't claim a loss greater than the amount you won and reported on Schedule 1. There may be a downside to claiming your losses, however. Schedule A records and claims itemized deductions, and you can't itemize and claim the standard deduction for your filing status, too. You'll want to choose the option that results in the most money being subtracted from your overall income to arrive at your taxable income for the year. You'll otherwise give the IRS more tax money than you have to. Tip Keep good records of your gambling activities, wins, and losses in case you decide to itemize your deductions. You'll be able to prove your losses. You can also check any W-2G forms you receive against your records to make sure they're accurate. The Bottom Line You must report your gambling winnings on your tax return, even if you don't receive a Form W-2G from the gambling institution. Contact the institution and the IRS if you think you should have received the form, particularly if you're unsure about how much you won and whether and to what extent any taxes were withheld. You must also report winnings that are less than the W2-G reporting requirements. You might want to consult a tax professional if your winnings are significant. Article Sources Investopedia requires writers to use primary sources to support their work. These include white papers, government data, original reporting, and interviews with industry experts. We also reference original research from other reputable publishers where appropriate. You can learn more about the standards we follow in producing accurate, unbiased content in our editorial policy. Internal Revenue Service. "Form W-2G, Certain Gambling Winnings." Internal Revenue Service. "Instructions for Forms W-2G and 5754." Pages 1-3. Internal Revenue Service. "Topic No. 419, Gambling Income and Losses." Internal Revenue Service. "Form W-2G, Certain Gambling Winnings." Page 5. Internal Revenue Service. "The Examination (Audit) Process." Page 2. Internal Revenue Service. "Form W-2G, Certain Gambling Winnings." Pages 1, 5. Internal Revenue Service. "Instructions for Forms W-2G and 5754." Page 2. Journal of Accountancy. "Tax Issues for Professional Gamblers." Internal Revenue Service. "Schedule 1 (Form 1040), Additional Income and Adjustments to Income." Page 1. Internal Revenue Service. "Deductions for Individuals: What They Mean and the Difference Between Standard and Itemized Deductions." Internal Revenue Service. "Publication 525, Taxable and Nontaxable Income." Page 34. 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Popular Accounts from Our Partners Part of the Series Federal Tax Forms How to Find and File Your Federal Tax Forms W- Forms Form W-2 Form W-2G CURRENT ARTICLE The Purpose of the IRS W-4 Form How to Fill Out a W4 Form Form W-8 Form W-9 1040 Forms Form 1040 Form 1040-NR Form 1040-SR Form 1040-V Form 1040X 1099 Forms The Purpose of 1099 Forms Things to Know About 1099s Form 1099-A Form 1099-B 1099 Forms C–H 1099-C Form 1099-CAP Form 1099-DIV Form 1099-G Form 1099-H 1099 Forms INT–OID Form 1099-INT Form 1099-K Form 1099-LTC Form 1099-MISC Form 1099-OID 1099 Forms PATR–SA Form 1099-PATR Form 1099-Q Form 1099-R Form 1099-SA Forms 706–1098 Form 706 Form 706-GS(D) Form 843 Form 1078 Form 1095-B Form 1098 Forms 1310–4070A Form 1310 Form 2441 Form 2848 The Purpose of IRS Form 2848 Form 4070A Forms 4506–8379 Form 4506 Form 4868 Form 5329 Form 5498 Form 6251 Form 8379 Forms 8396–9465 Form 8396 Form 8606 Form 8689 Form 8888 Form 8949 Form 8962 Form 9465 Read more Personal Finance Taxes Partner Links Take the Next Step to Invest Advertiser Disclosure × The offers that appear in this table are from partnerships from which Investopedia receives compensation. 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