Indiana State Tax On Gambling Winnings

Every year the Tax Foundation publishes its State Business Tax Climate Index. As they state, they look at how each state taxes, not on the how much. Per usual, the names at the top and the bottom haven’t changed much.

1. Michigan State Tax On Gambling Winnings
2. Indiana State Tax On Gambling Winnings
3. Missouri State Tax On Gambling Winnings

The top ten states are:

The federal government taxes gambling winnings at the highest rates allowed. So do the many states and even cities that impose income taxes on their residents. If you make enough money, in a high-tax state like California or New York, the top tax bracket is about 50 percent. For instance, if you claim it as an itemized deduction on your federal tax return, then no, you can't claim it on your Indiana tax return. However, if you are a professional gambler and are allowed to claim gambling losses on your federal business schedule (probably federal Schedule C), then the losses are included in federal AGI, and you'll. Welcome to FindLaw’s Indiana Gambling & Lottery Laws page. Indiana laws on gambling and lotteries regulate (and in some cases prohibit) activities such as casino gaming, horse racing, and dog racing. These laws also dictate the manner in which state lottery revenues are distributed. Riverboat gambling has a long history in the Hoosier State, and there are specific statutes on the books as to. Indiana’s casinos and two racinos reported combined slots and EDG winnings of $150.05 mm, which was just $59,383 less than October’s despite having 422 fewer units and 17,431 total available. Even with the fewer units, the 13 entities reported a collective coin-in total of $1.57 billion, which was 1.05% higher than October’s 1.55 billion. Indiana’s legislature has been ramping up an effort to legalize sports gambling in the state in recent weeks. Like most states considering sports betting bills, Indiana is anticipating a verdict in the New Jersey sports betting case in the US Supreme Court. A victory for New Jersey could allow for legalization of sports gambling in other states.

1. Wyoming
2. South Dakota
3. Alaska
4. Florida
5. Montana
6. New Hampshire
7. Nevada
8. Utah
9. Indiana
10. North Carolina

The bottom ten states:

41. Alabama
42. Louisiana
43. Vermont
44. Maryland
45. Arkansas
46. Minnesota
47. Connecticut
48. New York
49. California
50. New Jersey

This is what the Tax Foundation states about the bottom ten:

The states in the bottom 10 tend to have a number of afflictions in common: complex, nonneutral taxes with comparatively high rates. New Jersey, for example, is hampered by some of the highest property tax burdens in the country, has the second highest-rate corporate and individual income taxes in the country and a particularly aggressive treatment of international income, levies an inheritance tax, and maintains some of the nation’s worst-structured individual income taxes.

I deliberately waited until election day to make this post. Why? Because some states have ballot measures today that will impact their rankings. For example, Californians will vote on whether to have a “split-roll” property tax, where business properties would be assessed annually based on current value rather than only when a property is sold. California today ranks 14th in property tax; if this measure passes, the ranking will fall dramatically. Illinois votes today on changing their personal income tax from a flat-rate tax to a progressive system.

Nevada, my state, ranks seventh. It’s not that every tax is great in Nevada (we have a poor sales tax system and unemployment insurance taxes); however, we lack income taxes. (We do have a gross receipts tax, called the Commerce Tax, that large businesses must pay.)

Some states, like Utah and Indiana, have most taxes but they administer them neutrally, simply, and with relatively low rates. Contrast that with California, which has an awful income tax system, high rates, and ridiculous regulations.

Below is a map (from the Tax Foundation) of the United States with the rankings of each state. If you’re considering locating a business, it makes sense to look at taxes (and other factors, too); the Tax Foundation’s annual guide is a tremendous resource.

Welcome to the Indiana Department of Revenue

Learn More About Our Agency and How We Serve Hoosiers.

DOR Getting Back on Track

Stay up-to-date with all changes and updates DOR has implemented as a result of COVID-19 and learn how DOR is working with Governor Holcomb's Back on Track Indiana plan with guidance from the Indiana State Department of Health.

Access the Tax Library, information on appeals, and the Rulemaking Docket from DOR.

Find information for certified software companies, looking to provide online tax filing for Indiana taxpayers.

Tax professionals can find useful information and a link to the quarterly newsletter from DOR.

DOR has partnered with FAST Enterprises, LLC to take Indiana to the next level in state tax administration.

Find links for news, media & publications to stay updated from DOR.

Michigan State Tax On Gambling Winnings

Important Notices

WH-3 Returns are Due Feb. 1

The WH-3 is a reconciliation form for the amount of state and county income taxes withheld throughout the year. All employers must file the WH-3 by January 31 each year. Due to that date falling on a weekend, WH-3 returns are due Feb. 1.

If you previously registered to file withholding tax, you must still file Forms WH-1 and WH-3 for each period even if no tax is due or to report no employees for that time period. Late filed WH-1 returns are subject to a penalty of up to 20%, and a minimum penalty of $5. Late filed WH-3’s are subject to a penalty of $10 per withholding document (W-2, 1099, K-1).

Memorandum Deferring Payroll Tax Obligations 2020

On August 8, 2020, the White House published its Memorandum on Deferring Payroll Tax Obligations in Light of the Ongoing COVID-19 Disaster. DOR wants to remind individuals that the memorandum does not apply to any taxes due to Indiana. Employers and other withholding agents should continue withholding for all taxes required under Indiana law such as wages, gambling winnings, and non-resident shareholders/partners. Employees should contact their individual employer or the IRS regarding these federal-only withholding payroll tax changes. More information

Indiana DOR customers who are eligible for IRS tax relief due to natural disasters

Indiana State Tax On Gambling Winnings

Indiana DOR customers who are eligible for IRS tax relief due to natural disasters in Iowa and Louisiana may be eligible for similar relief in Indiana. After filing your return, email the Taxpayer Advocate Office for assistance.

Increase in Gasoline License Tax, Special Fuel License Tax, and Motor Carrier Surcharge Tax

Missouri State Tax On Gambling Winnings

P.L. 218-2017 requires the department to publish the new rates effective July 1, 2020, for the gasoline license tax (IC 6-6-1.1-201) and special fuel license tax (IC 6-6-2.5-28) on the department’s Internet website no later than June 1, 2020. For the period July 1, 2020, to June 30, 2021, the following rates shall be in effect:

• Gasoline license tax: $0.31/gallon
• Special fuel license tax: $0.51/special fuel gallon

Effective July 1, 2018, the motor carrier surcharge tax (IC 6-6-4.1-4.5) will no longer be imposed. The previously imposed rate has been incorporated into the special fuel tax rate.