Frequently Asked Questions
If you are not a citizen of the United States, you are eligible for a casino tax refund, provided you can prove that you were not a resident of the US at the time of your win. There are also a number of other countries that, by reason of tax treaties, make their citizens eligible for international tax refunds on lottery winnings. In addition to Canada, the following listed countries qualify: Austria, Czech Republic, Denmark, Finland, France, Germany, Hungary, Ireland, Italy, Japan, Latvia, Lithuania, Luxembourg, Netherlands, Russian Federation, Slovak Republic, Slovenia, South Africa, Spain, Sweden, Tunisia, Turkey, Ukraine, and the United Kingdom. Citizens of these countries do not have to establish gambling losses to claim a full refund. If you’re unsure whether you qualify or not, you can contact US Tax Recovery to check if your country is exempt from taxation on gambling winnings in the United States.
We assist our customers in applying for their ITIN, and filing their application for their casino tax refunds. Our experts are familiar with the process, and so can help you avoid the frustration that comes along with navigating IRS forms and requirements. When it comes to US gambling tax recovery, we are your best bet for getting the job done faster!
Canada, as well as several other countries, formed a treaty agreement with the United States in 1996, whereby certain gambling losses could be placed against gambling winnings to either reduce or eliminate entirely the taxes on those winnings. Per IRS regulations, persons wishing to recover IRS withholdings need to substantiate their gambling losses with proper documentation and valid receipts. However, you cannot reduce your gambling winnings tax by placing losses from Black Jack, Roulette, Craps, Baccarat, or Big-6 Wheel against your winnings, as those games are already exempt from gambling taxes.
At US Tax Recovery, we will assist you with obtaining a refund of all eligible US gaming taxes. This includes tax recovery on sources such as horse and dog race wagers, keno, lottery winnings, gaming tournaments, and game shows, as well as conventional casino winnings.
No, gambling winnings are not taxed in Canada.
Your gambling tax refund will be paid in US Dollars (USD).
There are several possible ways to track and record your gambling losses:
- Casino player’s card
- Bank or ATM receipts showing withdrawals from your account
- Wagering tickets or slips
- Cheques and bank statements
- Statements issued by the gambling establishment showing your winnings or payments
If you play slots or similar games, the best way to track your losses is to use a Casino Player’s Card, which is inserted into the slot machine in lieu of coin or cash. These cards are issued by individual casinos, and will track your wins and losses at that casino over the course of the year. At the end of the year, the casino(s) you gambled at will mail you a copy of your win/loss statement, which will provide a summary of the amounts you’ve won and lost. If you are a poker player, make sure to keep the receipts of your buys during the course of any poker tournaments, and note the wins and losses you’ve made within the United States. Make sure to include the following information when recording your casino gambling losses:
- Date and type of gambling activity or wager placed
- Name and address of the establishment at which you were gambling
- Names of any other persons who accompanied you while you were gambling
- Amount you won or lost
Yes. US Tax Recovery will assist you in obtaining a copy of your IRS 1042-S form from the casino’s records if you’ve lost or misplaced it. We will not charge you any additional fees for this service, as it is included in our tax recovery package.
You have up to three (3) years following your win to claim your casino tax refund; after that point, you will no longer be eligible to receive one.
If your ITIN application has already been processed, and your ITIN received, you can recover your gambling taxes within eight to ten weeks of submitting your application for a casino tax refund. However, if you have not yet received an ITIN, the process may take anywhere between twelve and eighteen weeks to complete.
Since gambling winnings taxes are reported and filed once a year, you will need to wait until the 1st of January in the following year to receive your US gambling tax refund. You may still send your application for a casino tax refund in prior to the start of the year. The sooner we receive your information, the sooner we can submit your application, which will ensure it will be processed as quickly as possible after the turn of the year.
There are a number of games exempt from withholding taxes, including Black Jack, Baccarat, Craps, Big-6 Wheel, and Roulette. If the casino has deducted taxes from your winnings at any of these games, you are entitled to a full refund without having to prove your losses.
You need to fulfill the following criteria to be eligible for a casino tax refund:
- You must have won gambling at a US casino in the last three (3) years.
- You must have not been a resident of the United States at the time of your win.
- You must have been issued a 1042-S form, or casino tax win slip, from the casino when you received your winnings.
- You must have the documents required to prove your identity, citizenship, and residency.
An Individual Taxpayer Identification Number (or ITIN) is a United States tax processing number issued by the Internal Revenue Service. It is a nine-digit number that begins with the number 9 and has a range of 70 to 99 (excluding 89 and 93) in the fourth and fifth digit, example 9XX-70-XXXX or 9XX-99-XXXX. The IRS issues ITINs to individuals who are required to have a taxpayer identification number but who do not have, and are not eligible to obtain, a Social Security Number. (Source: From Wikipedia, the free encyclopedia)
The IRS requires you to have the original copy of the following documents:
- Either a birth certificate or a valid driver’s license
- A current passport
These documents are necessary so that your ID can be notarized. The IRS will return these documents to you by registered mail.