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There are two types of withholding for winnings from gambling: regular and backup.Regular Withholding This is known as regular withholding. The regular withholding for gambling wasn't made. You Could Still Owe Taxes Depending on your federal income tax rate, the amount of the withholding may not be enough to cover your federal income tax liability. So, if you win $1,000 and lose $1,000, you may owe no taxes on your gambling activities.

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