Few bettors are aware that their gambling winnings are taxed, but how much are they on FanDuel?
Whenever you play casino games or bet on sports, the Internal Revenue Service (IRS) wants to know how much you earn. They also want you to pay a percentage of the winnings to them.
Without knowing the exact amounts, players may be confused when they earn much less than what their FanDuel winnings should be. Fortunately, Ace Per Head knows all about taxes on sports betting winnings, so we can help you.
Here’s what you need to know to prepare!
What Is FanDuel?
FanDuel is an online sportsbook exclusive to the US that allows people to bet on a variety of sports. It also offers fantasy sports games and casino games that change the way people experience gambling.
Yet, when using FanDuel, sports betting taxes can be withheld depending on the amount won, and players should be aware of this before betting.
How FanDuel Winnings Are Taxed
When a player makes a bet on FanDuel and earns over $600, the platform reports it to the IRS if the odds are 300 to 1 or greater. FanDuel also sends a W2-G form to both the IRS and the player that they can use when filing taxes later.
However, when a player earns over $5,000 on a wager, FanDuel withholds 25% of the winnings for tax purposes. The money is then sent to the IRS in the player’s name as if the player paid the taxes themselves.
While this can be frustrating for players who want to receive the exact amounts they win, the IRS considers it taxable income.
These are the two main taxes on sports betting winnings:
1. Income Tax
Because gambling winnings are considered taxable income, they have the same rates as other types of income. You can view the exact percentages on the IRS’s website, as they vary depending on how much you earn.
As of this year, a single individual must pay 22% for an income over $44,725. This means that you must also pay 22% of your winnings if you’re in this bracket, regardless of how much you’ve won from sports betting.
2. Self-Employment Tax
Although not common, some individuals may need to pay a self-employment tax if the IRS considers them full-time bettors. Currently, the self-employment tax rate is 15.3%, and this is applied on top of income tax.
If you’re a full-time bettor or local bookie in the same tax bracket mentioned above, your total tax rate will be around 37.3%. However, you may deduct various items that’ll help you lower your total rate.
An Overview of AcePerHead Promos
Taking advantage of promos and demos can help you feel confident in your decision to work with a company. It provides proof of a quality service and helps you lay concerns to rest.
AcePerHead promos aim to help budding bookies make knowledgeable decisions about working with our sportsbook. Read on to learn some promotions we offer so you can choose the right option for your needs.
Classic Free Promo Periods: A Sign-Up Bonus
Our classic promo gives you 6 weeks of free pay-per-head bookie services. However, it’s important to note that this promo isn’t consecutive. You deposit $500 upfront and get the first week of each month free for 6 months.
This is actually better than 6 consecutive free weeks. You sign up before the sports betting season begins and make bank during the subsequent months. Even when your head count increases, you’ll be getting several weeks free.
This promo also doesn’t come with any obligations. You can cancel at any time.
50% Discount Promo
A 50% discount promo does give you a consecutive-week discount. You open an account with a $250 deposit. Then, you get half off your first 5 weeks using AcePerHead.
This promo is the best option for those who are extremely unsure of whether they want to become a bookie. It lets you try the service and see whether you like taking sports bets. It doesn’t cost much in the short term, making it a great option for those who may want to throw in the towel quickly.
With this promo, you’ll get access to all of AcePerHead’s best features. We’ll help you design a custom website and show you the ropes. Our 24/7 support team, automated updates and upgrades, and sportsbook-specific features will all be at your fingertips.
Free Website Promo Services
Your bookie skin will make your application user-friendly for your players. You’ll add branded information to make yourself memorable, integrate easy payment options, and have a mobile-ready, easy-to-navigate interface that will set you apart.
The free website promo helps you quickly leverage a custom website’s advantages. You put $200 or more down on your sportsbook and get a free website made with our customizable skins. These skins come with sportsbook-specific features like Bitcoin payments, integrated score tracking, bet tickers, player dashboards, and gambler summaries.
If you want a fully customized website that isn’t from a template, that’s also possible. We’ll take $200 off the design quote.
Refer an Agent Bonuses
If you’re already an AcePerHead agent, there’s still a promo you can take advantage of the referral promo.
When you refer other budding bookies to use our PPH company, all involved parties can get monetary benefits and credits to their accounts. This is a great way to save some money and develop a partner in the bookmaking industry.
It’s a win-win!
There are tons of AcePerHead promos available to budding bookies. It’s important that you choose the right one to fit your needs.
Create Your Own Online Sportsbook Today
The idea of earning money from sports betting can be exciting, but FanDuel winnings will only limit you. Because of this, you should consider creating your own sports betting platform to earn more than you would by placing bets.
If you have no idea how to get started, Ace Per Head will provide you with a plethora of information to help you.
Sign up for this 6-week free promo of our bookie services, and then you can create a unique package that ensures your platform succeeds.
Ace Per Head has been in the online bookmaking services business since 1998 running one of the top-rated and most trusted brands in the pay per head industry. We give our bookie agents the personalized dedicated service they deserve.
