By The Weekly Edge desk ·
The IRS advised Americans to use betting platforms licensed by states when gambling, Casino.org News reported. The report contrasted that advice with prediction markets operating under federal licences.
The advice directs gamblers towards state-licensed platforms amid competing federal and state regulatory frameworks.
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Tax professors warn that uncertain taxation of prediction market gains could favour prediction platforms over traditional sportsbooks.
Restoring the deduction would allow gamblers to offset all gambling losses against winnings when calculating federal tax.
Authorities expect further indictments after seizing gambling machines and cash, leaving the alleged illegal gambling investigation open.
The deduction limit could leave gamblers with tax liabilities despite losses offsetting their winnings.