Learn Texas Holdem

Question: Hi,

I'm relatively new to poker and have started by spending a good deal of time studying strategy and practicing in poker rooms that offer free play. I want to start playing online for real money but the one thing that's been sticking in the back of my mind is the law. I don't want make a little bit of change only to have someone show up at my door with an arrest warrant after I declare the winnings on my tax return. I know that sounds a bit paranoid, but I do live in Alabama, and frankly, if something like that happened around here it would be no surprise to me. How do I make sure that I can play online poker for real money and still be certain that I won't have the law on my back?

Thanks,

Charles S.

Answer:

First of all, I'm not a lawyer so take everything I'm about to write with a grain of salt. I think it is very unlikely that you will get in trouble for playing online poker. I don't think there is a case to date of anyone being prosecuted for online gambling -- let alone playing online poker. It is my understanding that the IRS is only interested in getting their fair share of your income. Regardless of whether you make money legally or illegally, they want there's.

The IRS only arrests people when they don't pay their taxes. For you to get in trouble someone would already have to have a reason to look at your tax returns. Then they would have to somehow prove that you made money gambling in a way you shouldn't; it is perfectly legal for you to visit California or Nevada and gamble till your hearts content so there is no reason that the IRS or your state would think twice if you reported gambling proceeds on your return. Then after all that they would still have to take it to court and with a really weak case. Lastly, the government is limited in resources so when they do nail someone, they want to make it worth their time.

It wouldn't be worth their energy to go after you for a number of reasons ranging from poker's classification in gambling to the politics of regulating the Internet. I wouldn't lose any sleep over this. And for the future's sake, I would suggest everyone not vote in a bunch of Religious Right whackos into political positions if you value your freedom. Government shouldn't stick its nose in people's personal lives by regulating "values".