[net.taxes] lottery deductions <Illinois and other lotto states>

ler@ihuxb.UUCP (Litzhoff) (01/02/86)

Hey  lotto fans,
	My father is an avid lotto player. Is it true that the
amount played on lottery is tax deductible. Is this state only?
Or is this federal tax deduction also.
			
					thanks
					L. Litzhoff

rs55611@ihuxk.UUCP (Robert E. Schleicher) (01/03/86)

> Hey  lotto fans,
> 	My father is an avid lotto player. Is it true that the
> amount played on lottery is tax deductible. Is this state only?
> Or is this federal tax deduction also.
> 			
> 					thanks
> 					L. Litzhoff

My understanding of federal tax law is that gambling losses
are deductible ONLY for offsetting gambling winnings.  Thus, you only have
to pay taxes on your net gambling "profit".  However, you cannot deduct
anything for an overall gambling net loss.  So, unless you won more at the
lottery than you spent, there is no deduction.

Bob Schleicher
ihuxk!rs55611