IRS takes back slot tracking proposal
The IRS proposed a tracking on wins to assure the tax payment.
US.- After a long-term negotiation with the American Gaming Association, the Internal Revenue Service (IRS) has dismissed two tax proposals introduced in 2015. The project pretended to track the name of slot machine winners in order to make sure they pay their taxes.
The 2015’s IRS proposal was to obligatory require players who win prizes above US$600 to file paperwork for tax purposes. Currently, casino operators demand winners’ personal information when the prize is above US$1,200. Furthermore, the IRS tried to set mandatory electronic player tracking platform.
However, both projects were dismissed last week and the decision was backed by the American Gaming Association. Members of Congress have also expressed their opposition to the 2015 proposals and presented a letter of protest signed by 17 congressmen, including Rep. Leonard Lance and Rep. Frank LoBiondo. The two officials consider that the amount that must be reported by winners should be raised to US$4,700.
“We look forward to continuing to work with the IRS and our federal partners to modernize regulations and protect millions of casino customers around the country,” commented Geoff Freeman, chief executive officer and president of AGA, and he added, “Today’s final IRS regulation is a big win not only for gaming companies and millions of casino visitors, but also for state and local governments who would have received fewer gaming tax dollars as a result of what would have been burdensome federal requirements.”
