IRS Regulations: 1.

• IRS REGULATIONS:  1.  By order to the Internal Revenue Service, winnings of $600 or more, unreduced by the amount of wagers, must be reported for every person paid gambling winnings from greyhound racing.  Form W2-G must be filled out for every person paid $600 or more in winnings, if such winnings are at least 300 times the amount of the single wager.  Form W2-G must be filled out and Federal income tax must be withheld at the rate of 28% on any winning payments of $5,000 or more in at least 300 times the amount of the single wager.  If more than one person shares in the winnings from a single wager, the AGGREGATE amount of the winnings shall determine whether or not the winnings are more than $5,000.  In the case of multiple wagers sold on one ticket, each wager shall be considered separate and distinct for purposes of computing the amount to be reported or withheld, and Federal income tax must be withheld if the winnings amount to more than $5,000.  Taxpayer identifying number and another ID must be presented before payment can be made.  No metal Social Security cards will be honored.  Foreign National take-out is 30% if the winnings amount to more than $5,000.  2.  Effective January 1, 1994, NEW AGGREGATION REGULATIONS require that gambling winnings from IDENTICAL WAGERS be aggregated to determine whether those winnings are subject to 28% withholding tax.  For example, when a winning ticket in the $600 to $5,000 range is presented for payment, the cashier at the designated IRS window is required to ask the patron if they have identical wagers, and if so, how many.  All such wagers must be presented at the same time for aggregation by the cashier.  Should the patron state that they have no additional identical wagers it will be shown on the form.  The accuracy of a patron's action will be determined by the IRS.  The same rule applies to residents of another country, but Federal income tax withholding of 30% is required.  (An IDENTICAL WAGER is one in the same race and wagering pool, notwithstanding that the type of wager is a box, key or wheel.)  3.  An additional 6.93% State of Wisconsin tax will be withheld on all winnings requiring Federal tax withholding.  4.  For Wisconsin tax purposes, tax must be withheld at a rate of 6.93% on all winnings exceeding $1,000.00.  The 300:1 ratio (winnings to wager) does not apply.