John H. Fisher wrote:
- quote -

But most commercial gambling is not a fair game.
In the poker game at your home you have a fair game,
assuming equal skill. This means your expected return is
equal to your bet on average. At a racetrack your fair game
return pool has 15% taken away by the track, etc. and what
is paid out is always, except for the rare minus pool, an
average loss.

I could go through all forms of commercial gambling and
demonstrate the same expected result.

Now those who play for entertainment probably get a fair
shake. Those who intend to make a living are likely to end
up on welfare.

--
Frederick E. Jorden http://Tax-Accounting-Payroll.com
7825 Midlothian Tpk - 207 Richmond, VA 23235-5247 EMAIL knowtax[at]bigfoot.com
(804) 320-6210 FAX (804) 320-6211

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"Dave Woods, EA" <d.woods[at]verizon.net> writes:
- quote -

'n' Bill Bennett!!!=(:

BUT - I expect when we view the life of each and every
individual (including you and me), we find that life itself
is a gamble. We just can't win 'em all!!!=(: For instance,
I am quite happy to have awakened this morning!!!=
CHANCES are that might not have happened!!!=

"Jack" - John H. Fisher - TaxService[at]aol.com
Philadelphia, Pa - Atlantic City, NJ - West Wildwood, NJ
My Newsgroups & Boards at: http://members.aol.com/TaxService/index.html

Where Ignorance is bliss, 'tis folly to be wise!=

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"Reno Master" <RenoMaster2003[at]hotmail.com> wrote:

- quote -

Income averaging (other than for farming) has not existed
since '86.

--
Regards,

Mark X Rigotti

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Cindy, CA wrote:

- quote -

I would also note that even when it *was* in the law it
still wouldn't have done what this person wants done--that
is, "freeing up" some limited gambling losses. All income
averaging did back when it was in the law was to alleviate
the impact of movement through the progressive tax brackets
for someone with an unusually high income year. It did not
result in going back and "redoing" prior year returns.

--
Ed Zollars, CPA
Phoenix, Arizona

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"John H. Fisher" <taxservice[at]aol.compliance> wrote:

- quote -

Pete Rose being a prime example.

--
David M. Woods, EA
Boston, MA 02109

Postings here are general information only and not to be
relied upon as advice.

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Reno Master wrote:

- quote -

Income averaging was repealed in 1986. Therefore, it is
not available.

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"Reno Master" <RenoMaster2003[at]hotmail.com> wrote:

- quote -

Income averaging ended with the Tax Simplification Act of 1986.

Cindy

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"Reno Master" <RenoMaster2003[at]hotmail.com> wrote:

- quote -

Income averaging went out years ago except for farmers.

Wayne Brasch, CPA, M. S. Taxation

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- quote -

No!!! They may not be carried backward, forward, or
averaged. Gamblers are generally losers. It is very
difficult to substantiate a losing proposition as a
productive business. Even if one could qualify, the income
would become subject to both income and self-employment tax.
It wouldn't make sense for most people. However, it could
be worked to the advantage of those on Social Security.
Even though the losses may not be claimed, the income is not
part of ones adjusted gross income. In many cases, that
would relieve seniors of having to pay tax on their losses.
IOW, the income would not contribute to making Social
Security income taxble.

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"Reno Master" <RenoMaster2003[at]hotmail.com> wrote:

- quote -

You cannot income average. The second question is therefore
moot.

--
David M. Woods, EA
Boston, MA 02109

Postings here are general information only and not to be
relied upon as advice.

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- quote -

Not allowed.

Helen, EA in PA
Member of The Tax Gang
President, PA Society of Enrolled Agents
1040EZ and 1040A tax prep at www.1040.com/1040pro

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Reno Master wrote:

- quote -

There's no provision in the law for doing that, no matter
what your trade or business. The closest provision is the
net operating loss provision, but that results in bringing
losses forward (and then they'd still need to be deductible
in the year incurred which, as I recall, was the problem
here to begin with, *AND* effectively first offset against
all types of income for the year in question).

--
Ed Zollars, CPA
Phoenix, Arizona

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Reno Master <RenoMaster2003[at]hotmail.com> wrote:

- quote -

Income averaging disappeared in 1986, except for certain
farm income and certain lump-sum distributions from
qualified employer plans.

__
Art Kamlet ArtKamlet [at] AOL.com Columbus OH K2PZH

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Since, apparently, excess expenses are not deductible in
this business, is it possible to income average so as to
ultimately use them by allocating some of your income from a
future year back to the year with the excess expenses? If
so, how it this accomplished?

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