Form W-2G is an IRS tax form used to report gambling winnings, including slot machines, poker, keno, and other games. Casinos must issue this form if your winnings meet certain thresholds. It ensures gambling income is properly reported to both the IRS and the taxpayer.
1. What Is Form W-2G?
Form W-2G is filed by casinos and other gambling establishments to report gambling winnings. It shows the amount you won, along with any federal income tax withheld. You must include this income on your tax return.
👉 Learn more about IRS tax reporting requirements for other forms such as Form 1099-MISC and Form 1099-NEC.
2. When Do You Receive a W-2G?
For Slot Machines:
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Threshold for Reporting: You will receive Form W-2G if you win $1,200 or more from a slot machine.
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Tax Withholding: Casinos must withhold 24% federal tax if your winnings exceed this threshold.
For Other Games:
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Poker Tournaments: $5,000 or more in net winnings.
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Keno: $1,500 or more.
3. Information Shown on Form W-2G
Your form will include:
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Box 1 – Winnings: Total gambling winnings.
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Box 2 – Type of Gambling: Slot machines, keno, bingo, poker, etc.
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Box 3 – Federal Income Tax Withheld
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Box 4 – State Income Tax Withheld (if applicable)
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Box 5 – Date of Payout
4. How to Report Slot Machine Winnings on Your Tax Return
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Always include the full amount of winnings on your Form 1040 under “Other Income.”
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Report any tax withheld from Boxes 3 and 4.
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You may also deduct gambling losses (up to the amount of winnings) if you itemize deductions.
👉 See our guide on reporting gambling winnings with Form W-2G.
5. Multiple W-2Gs and Combining Forms
If you receive more than one W-2G throughout the year, you must add them together when reporting. Casinos issue one form per event, so multiple winnings mean multiple W-2Gs.
6. State Tax Rules
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Some states, like Nevada and Florida, do not tax gambling winnings.
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Others require state withholding, which will be shown on Box 4.
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You must still include winnings on your state return if required.
7. Penalties for Not Reporting
Failure to report gambling winnings may result in:
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IRS penalties and interest on unpaid taxes
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Additional scrutiny of your tax return
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Possible legal consequences
👉 Avoid mistakes by using IRS-compliant W-2G e-filing software to submit and track gambling winnings.
Key Takeaways
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Casinos issue Form W-2G for slot machine winnings over $1,200.
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The IRS requires you to report all gambling income, even if no tax was withheld.
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Federal withholding is 24%, with state rules varying.
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Deduct gambling losses only if you itemize deductions.
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Combine all W-2Gs when filing your tax return.