Canada Poker Taxes for live tournament scores

NewffNewff
in General Poker Chat
If a Canadian citizen plays a live tournament at the CPT for example and wins like 200k just as an example...is there money withheld for taxing purposes? I was under the assumption that gambling winning were not taxed in Canada unless the government knew you were a consistent winning pro using poker as your main income?

Someone just told me they will hold 30% of winning for tax purposes. Could someone clarify for me what happens after a score like this in Canada?

Comments

  • Wetts1012Wetts1012
    No, 30% does not apply in Canada. This is a US regulation, on differing dollar amounts, in different states.
  • Richard~Richard~
    Those US taxes are really annoying, most swedish pros like Storåker don't even bother playing the WSOP much except for the main event since taxes take away so much value
  • NewffNewff
    Ok, cool. What if i sell action to someone in the US and I cash for a good amount. I think I heard someone mention before that I have to fill out some forms for their tax purposes? Is the forms just so they can explain where the money came from?
  • JimmyHoJimmyHo
    Newff wrote: »
    Ok, cool. What if i sell action to someone in the US and I cash for a good amount. I think I heard someone mention before that I have to fill out some forms for their tax purposes? Is the forms just so they can explain where the money came from?

    just pay them cash, how would a Canadian casino know or care about personal arrangements you may have?? why would the US resident want to report this income to the IRS if it is a personal wager?
  • compueasecompuease Admin
    Newff wrote: »
    Ok, cool. What if i sell action to someone in the US and I cash for a good amount. I think I heard someone mention before that I have to fill out some forms for their tax purposes? Is the forms just so they can explain where the money came from?

    It's not an issue if it's a CPT event played in Canada but if it's a US event and you cash for more than $5K net of buyin then 30% is withheld at source. (ie by the Casino before paying you)
  • isld_prdiseisld_prdise
    You can get almost all of the winnings back from a major US poker tourney win thx to NAFTA. :) (North American Free Trade Agreement.) Just get a good accountant.
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