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Re: Got a 1099 for some winnings
[Re: GMTK]
#14565060
12/15/22 12:40 AM
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Joined: Jan 2004
Posts: 16,868
ezbassin
TFF Guru
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TFF Guru
Joined: Jan 2004
Posts: 16,868 |
Won two hours at a Big Bass tourney a month ago and the organization that is running the tourney sent me a 1099. I won $1200 overall (which I split 50/50 with the guy I was fishing with). Anyone else get a 1099 from a fishing tourney? Any idea what the cutoff amount is? How much do yall withhold for taxes? Put it on a schedule C and deduct your related expenses
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Re: Got a 1099 for some winnings
[Re: GMTK]
#14565067
12/15/22 12:53 AM
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Joined: Dec 2008
Posts: 16,196
grout-scout
TFF Guru
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TFF Guru
Joined: Dec 2008
Posts: 16,196 |
Fricking IRS, turns your $1200 into $900, while people sit at home collecting money for doing absolutely nothing.
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Re: Got a 1099 for some winnings
[Re: Walls]
#14565216
12/15/22 04:02 AM
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Joined: Aug 2020
Posts: 104
N2Bass
Outdoorsman
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Outdoorsman
Joined: Aug 2020
Posts: 104 |
One reason I ALWAYS get a players card at any casino I play in. Unlike gambling though, fishing does not have a players card and ya gotta keep track of what ya spend or invest to win that money. As a general rule, if you have to spend money to make money, there is usually a way to get some of it back from the IRS. Not being a jackwagon, but that's incorrect. There is a blueprint that a revenue agent will use to make a determination of whether your activity is a business or a hobby. It is a lot easier to label it a hobby than it is a business according to their standards (talking fishing tourney winnings here). If you have claimed that income as a business by filing it on Schedule C and take expenses to reduce that income (God forbid take a loss) and they determine it as a hobby under review, you cannot take a penny of expenses to reduce that taxable income. Many years ago you could itemize hobby expenses subject to a 2% floor if you Itemized on Schedule A, but that has not been the case for years. "Well, I've done it for many years and never been audited".................... As I said before, the odds might be in your favor on not getting a random audit- but the odds are from from Zero. more So if one had $5k cash, and took $2k out to gamble, and hit 10 jackpots worth $20k, but lost $18k to get those jackpots…then what? Still have 10 1099’s. And no players card.
Last edited by N2Bass; 12/15/22 04:03 AM.
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Re: Got a 1099 for some winnings
[Re: Walls]
#14565365
12/15/22 01:55 PM
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Joined: Jun 2013
Posts: 1,350
GeoFisher
Extreme Angler
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Extreme Angler
Joined: Jun 2013
Posts: 1,350 |
One reason I ALWAYS get a players card at any casino I play in. Unlike gambling though, fishing does not have a players card and ya gotta keep track of what ya spend or invest to win that money. As a general rule, if you have to spend money to make money, there is usually a way to get some of it back from the IRS. Not being a jackwagon, but that's incorrect. There is a blueprint that a revenue agent will use to make a determination of whether your activity is a business or a hobby. It is a lot easier to label it a hobby than it is a business according to their standards (talking fishing tourney winnings here). If you have claimed that income as a business by filing it on Schedule C and take expenses to reduce that income (God forbid take a loss) and they determine it as a hobby under review, you cannot take a penny of expenses to reduce that taxable income. Many years ago you could itemize hobby expenses subject to a 2% floor if you Itemized on Schedule A, but that has not been the case for years. "Well, I've done it for many years and never been audited".................... As I said before, the odds might be in your favor on not getting a random audit- but the odds are from from Zero. more This is why I said AS A GENERAL RULE and qualified it by saying spending money to make money. I have heard that whole hobby/business [censored] for 30 years. If your tax guy cant get ya back some money on a $5000 jackpot slot winning after spending lets say 3-5k over the last 12 months gambling, you need a new tax guy. Same for fishing tournaments. You win $20,000 at Bass Champs event and pay 4-5 k in taxes on that 20k.....My tax guy BETTER find some deductions somewhere or I am getting a new one who will.
Everything on your bass boat is broken......You just don't know it yet.
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Re: Got a 1099 for some winnings
[Re: GMTK]
#14565438
12/15/22 02:51 PM
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Joined: Jul 2013
Posts: 737
TallBaldCypress
Pro Angler
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Pro Angler
Joined: Jul 2013
Posts: 737 |
You can have 10 different CPA's do your taxes and get 10 different results. Ain't no way I'm receiving a 1099 and not deducting expenses. Fundamentally seems wrong and if I owed the $300 tax on the $1000 in winnings then I'll pay it when they tell me I owe it but until then at least my entry fee is getting expensed. And if I stumbled on a big check I'd probably expense hotel, fuel, practice and all that stuff. They don't call it the pro side for nothing.
Last edited by TallBaldCypress; 12/15/22 02:54 PM.
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Re: Got a 1099 for some winnings
[Re: N2Bass]
#14565510
12/15/22 04:32 PM
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Joined: Mar 2017
Posts: 1,343
pchapin
Extreme Angler
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Extreme Angler
Joined: Mar 2017
Posts: 1,343 |
One reason I ALWAYS get a players card at any casino I play in. Unlike gambling though, fishing does not have a players card and ya gotta keep track of what ya spend or invest to win that money. As a general rule, if you have to spend money to make money, there is usually a way to get some of it back from the IRS. Not being a jackwagon, but that's incorrect. There is a blueprint that a revenue agent will use to make a determination of whether your activity is a business or a hobby. It is a lot easier to label it a hobby than it is a business according to their standards (talking fishing tourney winnings here). If you have claimed that income as a business by filing it on Schedule C and take expenses to reduce that income (God forbid take a loss) and they determine it as a hobby under review, you cannot take a penny of expenses to reduce that taxable income. Many years ago you could itemize hobby expenses subject to a 2% floor if you Itemized on Schedule A, but that has not been the case for years. "Well, I've done it for many years and never been audited".................... As I said before, the odds might be in your favor on not getting a random audit- but the odds are from from Zero. more So if one had $5k cash, and took $2k out to gamble, and hit 10 jackpots worth $20k, but lost $18k to get those jackpots…then what? Still have 10 1099’s. And no players card. Winnings go on page 1, losses go on Schedule A (itemized deductions). To get any benefit from losses, you need more itemized deductions than your standard deduction.
“No reasonable person would conclude that the statements were truly statements of fact” P01135809
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Re: Got a 1099 for some winnings
[Re: TallBaldCypress]
#14565511
12/15/22 04:38 PM
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Joined: Mar 2017
Posts: 1,343
pchapin
Extreme Angler
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Extreme Angler
Joined: Mar 2017
Posts: 1,343 |
You can have 10 different CPA's do your taxes and get 10 different results. Ain't no way I'm receiving a 1099 and not deducting expenses. Fundamentally seems wrong and if I owed the $300 tax on the $1000 in winnings then I'll pay it when they tell me I owe it but until then at least my entry fee is getting expensed. And if I stumbled on a big check I'd probably expense hotel, fuel, practice and all that stuff. They don't call it the pro side for nothing. Accounting Today covers CPA's who got caught conspiring to file fraudlent tax returns. If you are going to cheat, buy Turbo Tax and do it yourself. That way if you get caught, you can avoid the conspiracy charge which usually gets the most time.
“No reasonable person would conclude that the statements were truly statements of fact” P01135809
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Re: Got a 1099 for some winnings
[Re: GMTK]
#14565526
12/15/22 04:51 PM
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Joined: Feb 2008
Posts: 1,293
J.H.S.
Extreme Angler
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Extreme Angler
Joined: Feb 2008
Posts: 1,293 |
I would think if you get 1099's every year and have some sort of sponsorship you could probably justify it to the IRS as a business to put on a Sch. C. If you get a 1099 every couple of years with nothing consistent, I would not chance it.
Live Daringly, Boldy, and Fearlessly....Embrace the Challenge So That You May Feel the Exhiliration of Victory.
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Re: Got a 1099 for some winnings
[Re: GMTK]
#14565583
12/15/22 05:51 PM
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Joined: Sep 2008
Posts: 2,014
fishnfireman
Extreme Angler
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Extreme Angler
Joined: Sep 2008
Posts: 2,014 |
If you can't pay the fine or do the time....Don't commit the crime.
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Re: Got a 1099 for some winnings
[Re: GMTK]
#14565617
12/15/22 06:49 PM
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Joined: Feb 2002
Posts: 2,973
Txduckhunter
Extreme Angler
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Extreme Angler
Joined: Feb 2002
Posts: 2,973 |
This thread certainly took a twist.... Guy was just trying to make a humble brag...
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Re: Got a 1099 for some winnings
[Re: Txduckhunter]
#14565628
12/15/22 06:57 PM
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Joined: Nov 2014
Posts: 23,439
SteezMacQueen
TFF Guru
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TFF Guru
Joined: Nov 2014
Posts: 23,439 |
This thread certainly took a twist.... Guy was just trying to make a humble brag...
Eat. Sleep. Fish.
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Re: Got a 1099 for some winnings
[Re: 4Weight]
#14565632
12/15/22 07:00 PM
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Joined: Mar 2007
Posts: 16,339
forkduc
TFF Guru
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TFF Guru
Joined: Mar 2007
Posts: 16,339 |
Always been that way! Really stings if you win a boat or another significant prize😬
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Re: Got a 1099 for some winnings
[Re: GMTK]
#14565642
12/15/22 07:05 PM
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Joined: Aug 2009
Posts: 444
Stew
Angler
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Angler
Joined: Aug 2009
Posts: 444 |
Nominee/middleman returns. Generally, if you receive a Form 1099 for amounts that actually belong to another person, you are considered a nominee recipient. You must file a Form 1099 with the IRS (the same type of Form 1099 you received) for each of the other owners showing the amounts allocable to each. You must also furnish a Form 1099 to each of the other owners. File the new Form 1099 with Form 1096 with the IRS Submission Processing Center for your area. On each new Form 1099, list yourself as the “payer” and the other owner as the “recipient.” On Form 1096, list yourself as the “Filer.” A spouse is not required to file a nominee return to show amounts owned by the other spouse. The nominee, not the original payer, is responsible for filing the subsequent Forms 1099 to show the amount allocable to each owner. https://www.irs.gov/instructions/i1099gi
Kenny Stewart
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Re: Got a 1099 for some winnings
[Re: Txduckhunter]
#14565661
12/15/22 07:19 PM
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Joined: Feb 2012
Posts: 267
GMTK
OP
Angler
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OP
Angler
Joined: Feb 2012
Posts: 267 |
This thread certainly took a twist.... Guy was just trying to make a humble brag... Ha. Sorry but that wasn't the intent. (would have posted pics of it if I wanted to brag...................)
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Re: Got a 1099 for some winnings
[Re: GMTK]
#14565837
12/15/22 09:59 PM
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Joined: Dec 2005
Posts: 4,045
ogles824 (aka Lakewaydr50)
TFF Team Angler
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TFF Team Angler
Joined: Dec 2005
Posts: 4,045 |
This interesting for sure, fishing the BFL this year and I was wondering if I could deduct my cost to do so. Do you have to set yourself as an LLC, Corporation, etc. and file under the intity you created?
2012 ZX200 Skeeter 2012 Yamaha 200 SHO Isaiah 40:31 "but those who hope in the Lord will renew their strength. They will soar on wings like eagles, they will run and not grow weary, they will walk and not be faint. Proud student of the Pro Staffer. https://www.youtube.com/watch?v=TzwF72B2F2w&t=14s
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