What is the tax liability of income generated through online poker ?

I've been making some money from playing on the internet, on a site based in Madagascar or somewhere. They've sent me a 拢sterling cheque of my winnings - what is the tax status ? Is it winnings from gambling - does it have to be declared ?
What is the tax liability of income generated through online poker ?
The simple answer is "No" but the facts may determine otherwise.





Therefore, you would be well advised to review the information provided by the HMRC to their own tax inspectors in the Business Income Manual.





Go to: http://www.hmrc.gov.uk/manuals/bimmanual...


"BIM22015 - Trade: exceptions %26amp; alternatives: betting and gambling: introduction." Further links are provided at the end of that section in particular the one referring to the "Professional Gambler".
Reply:As far as I know, gambling is non taxable in UK. Check HMRC website.
Reply:Its depends weather you are doing it as a business or being an individual if its business then it is taxed only for corporation purposes but but an individual is exempt which means not taxable...
Reply:Gambling profits are generally not taxable....but there have been cases where indiviudals have been found to be trading due to the high level of investment and winnings and the ability to live off them. Unless you are really big time, I wouldn't worry.
Reply:The IRS considers all world wide income as taxable unless the Internal Revenue Code says it is not taxable. Winnings from gambling is taxable and should be reported as Other Income on your federal return. If you do not report the income and the online gaming site reports the winning to the IRS, you will get a letter from the IRS asking for the tax on the winnings. The IRS could also charge a penalty for not reporting the income, and then both the tax on the winnings and the penalty are charged interest back to the date you should have reported the income.