What is a W2G?

Form W-2G reports gambling earnings and tax withholdings. As an operator, NYRA and BetMGM must inform the IRS of these earnings. US citizens and permanent residents simply add W2Gs to their tax filings (no tax withholding).

  • Generally, you will receive a Form W-2G if any winning wager or groups of identical wagers (same track, race, pool and winning numbers) results in any of the following:
    • Proceeds of $600.00 or more if the amount of such proceeds is at least 300 times as large as the amount wagered.
    • Proceeds of more than $5,000.00 if the amount of such proceeds is at least 300 times as large as the amount wagered.

For a more detailed overview, please see below.

NYRA Bets - threshold of winnings must be 300 times the bet

  • Taxes are 24% at Federal level and taxes at state level vary by state.
  • Taxable amount is the win minus the bet.
  • Free Bets are not deducted from the win. Both types receive W2Gs at the end of the year.
  • Any and all applicable state or local taxes as required by applicable law may also be withheld.