We operate under the parimutuel gaming laws of the United States, which have very specific rules around taxation and what is considered "taxable" winnings.
The IRS rules are as follows:
When a wager pays more than $600 (but less than $5000) at odds of 300 to 1 or greater (based on the total of all wagers placed on a particular bet type):
RUSH will produce a downloadable W-2G that will be available in your profile section for each qualifying wager
W-2G forms will be generated automatically when a customer meets the IRS reporting criterea
A Copy of the W-2G will be sent to the IRS and to the customers state of residence
When a wager pays out $5000 or more with odds of 300 to 1 or greater (based on the total of all wagers placed on a particular bet type):
24% of the total payout is withheld and will be remitted to the IRS in the customers name by RUSH
A W-2G form will be generated automatically when a customer meets the reporting criterea
A copy of the W2-G form will be sent to the IRS and the customers state of residence
An example of all wagers on a particular bet type would be a lottery wager, where multiple tickets have been placed on the given lottery. The tickets would be "pooled" together, so that if the base amount of the lottery ticket was $0.50 but you had 10 tickets on that given lottery - then the multiple of 300 to 1 would be based on $5.00 and not the $0.50 base wager amount, as they were all wagered on the same "bet".
If you need additional copies of any W-2Gs please reach out to us and we will endeavour to get you additional copies.
Disclaimer: We strongly recommend that you consult a professional when preparing your taxes. You may need to report your winnings even if you did not receive a W-2G and if nothing is withheld. This material has been prepared for informational purposes only, and is not intended to provide, nor should it be relied on for, tax or accounting advice. You should consult your own tax or accounting advisor regarding your tax or accounting needs.