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This article provides information regarding how to report sports betting winnings and losses on your tax return, what to do if you bet on sports in multiple states, and what to do if you receive a tax form from a sportsbook or gambling company. It is especially important to keep records if you are deducting sports betting losses on your tax return. The sports betting winnings are taxed like other ordinary income, so it is important to tell your tax professional about both your winnings and losses. What happens if I forget to report my sports betting winnings on my taxes? Failing to report your sports betting winnings could result in an audit of your tax return, assessment of penalties and interest, and even criminal charges in the most severe cases. When a sportsbook or gambling company sends you a tax form, it also sends a tax form to the IRS. What do I do if I receive a tax form from a sportsbook or gambling company? After confirming that the winnings are correct, be sure to give the tax form to your tax professional.

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