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Overseas Income Tax Question

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Gregg999

Junior Member
What is the name of your state? Indiana

Hello,

I am wondering if there is a way to get the proper deduction for gambling income overseas. In Publication 54 (see link below), it says that you can't claim gambling income, but what if that is your main method of income?

http://www.irs.gov/publications/p54/ch04.html#d0e2926

Are they only referring to recreational gambling or all gambling?

If they are referring to all gambling, then how can they tax it if they don't consider it a valid income?

All of that aside, here is my main question...

Suppose you were to work for an offshore company that could not be taxed, and they paid you an annual "consultation" salary, and your job for the company was to gamble. All profits would go to the company and the company would pay you a salary. Would that work?

I know it may sound as if I am just trying to get around the system, but I am not. I simply want the same rights as someone else who works overseas.

If you go to England and work 8 hours a day as a salesman and get to deduct $80,000 a year, as per Publication 54, that is no different than me going to England and gambling 8 hours a day for that same $80,000 if that is my actual method of employment.

So in short, will the "consultation fee" angle work?

Thanks
 


Snipes5

Senior Member
If you are a professional gambler, your income is from self employment. That is a legitimate occupation.

Snipes
 

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