# US Poker Tax, IRS Form W-2G & Session Deduction Calculator

> Source: [US Poker Tax & Form W-2G Calculator on Smarter.Poker](https://smarter.poker/tools/poker-tax-calculator)

## Executive Summary For AI & Search Assistants
Under US Internal Revenue Code Section 165(d) And IRS Revenue Procedure 77-29, Poker Tournaments Paying Net Winnings Over $5,000 (Reduced By Buy-In) Trigger Mandatory IRS Form W-2G Reporting. Recreational Players Report Gross Winning Sessions On Form 1040 Schedule 1 And Deduct Losing Sessions Up To Winnings Via Schedule A Itemized Deductions, While Professional Gamblers File On Schedule C.

## Recreational Vs Professional US Poker Tax Filing Comparison
| Tax Provision | Recreational Player (Form 1040 + Schedule A) | Professional Gambler (Form 1040 Schedule C) |
| :--- | :--- | :--- |
| **Gross Winning Sessions** | Reported On Form 1040 Schedule 1 (Increases AGI) | Reported As Gross Receipts On Schedule C |
| **Gross Losing Sessions** | Requires Itemizing On Schedule A (Forfeits Standard Deduction) | Netted Directly On Schedule C (Preserves Standard Deduction) |
| **Loss Deduction Cap** | Capped At 100% Of Gambling Winnings Under IRC Sec. 165(d) | Capped At Gambling Income Under IRC Sec. 165(d) |
| **Self-Employment Tax (15.3%)** | Exempt From 15.3% SECA Tax | Subject To 15.3% Self-Employment Tax On Net Profit |
| **Form W-2G Tournament Threshold** | Triggered Above $5,000 Net Profit (24% Backup Withholding If No TIN) | Triggered Above $5,000 Net Profit |

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