By Betting Buzz
Boom! Delaware is taking action.
Thanks to the Supreme Court’s decision to overturn a federal sports gambling ban, Delaware residents can now wager on single sports contests.
While Delaware already allowed multi-game parlay betting on NFL games, true legal sports betting became official inside Delaware’s three casinos at 1:30 p.m. on June 5. Fans can now bet on single games for all major North American pro sports leagues as well as auto racing, soccer and golf. Delaware was the first state to embrace gambling — thanks in large part to the sports gambling infrastructure already in place.
While it’s happy times for gamblers, Uncle Sam swooped in with a word of caution: He’ll tax 24% of any winnings over $5,000 (gambling winnings are considered to be income).
As for being taxed on payouts, a recent law enables bettors to deduct their losses up to the amount of winnings — as long as deductions are itemized. Also, if the casino withholds 24% of your winnings, you may still have to pay more taxes depending on your tax bracket.
It’s also possible to have taxes withheld on winnings under $5,000 if you’ve won at least 300 times the original wager (for instance, $1,500 on a $5 bet).