Page 191 - Other Income for Individuals
P. 191

Other Income






































                         Gambling Winnings                                                   Lotteries and raffles


          You must include your gambling winnings in income on
            Schedule 1 (Form 1040), line 8.                                    Winnings from lotteries and raffles are gambling
          If you itemize your deductions on Schedule A (Form                   winnings. In addition to cash winnings, you must include
            1040), you can deduct gambling losses you had during                in your income the fair market value of bonds, cars,
            the year, but only up to the amount of your winnings.               houses, and other noncash prizes.
          If you’re in the trade or business of gambling, use
            Schedule C (Form 1040).                                           If you win a state lottery prize payable in installments, see
                                                                              Pub. 525 for more information.

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