Problem Gambling Income
Gambling is simply the wagering something of worth on an occasion with an unpredictable outcome with the objective of winning something in return. This can take many forms from betting on horse races and soccer games to trading stocks and futures. Gambling therefore requires three key components to be present: risk, consideration, and a payout. While it’s easy to say that you should play it safe, what I am saying is that you should always play it smart.
The best way to start in understanding the concept of gambling responsibly is to understand how we typically engage in such activities. In most cases, the activity is for fun and entertainment, not profit. For example, say you are playing craps, one of the biggest considerations is that it should be fun to participate in and that you will enjoy yourself whether or not you actually win and lose money. This same notion should apply to online gambling as well. One of the biggest problems with online gambling, however, is that you are completely removed from the act of gambling; hence, the term “gamblers luck”.
There are many different types of gambling that fall under the heading of “gambling”. These include lotteries, roller coasters, bingo, internet gambling, and betting exchanges. A lot of people who partake in online gambling activities do so because they feel that the odds of their outcome are in their favor; thus, it makes sense that they would wager a lot of money. The problem, however, is that you are relying on luck more than skill when it comes to lotteries and internet bingo games. Although there are techniques you can use to increase your chances of winning, it still does not change the random nature of these gaming events.
Internet gamblers can take their game skills a step further and try out one of the many slot machines located in most casinos. Slots are designed to fool gamblers, giving them a false sense of security because a small fraction of the bet will be lost. Although this situation may seem unfair, it is true. When you place a bet on a machine that has an uncanny edge of being “broken” you are gambling with luck. To beat the machine, you have to think like a professional gambler and hope that you will hit the numbers on the slot machines that have an edge.
Problem gamblers are typically attracted to internet gambling because the payout is much greater than the other types of gambling activities. Due to the lack of physical gambling activities, problem gamblers may find themselves with a larger bankroll than they would like. They are able to leverage their larger bankroll in order to exceed their loss limit; thus, compounding their problems by increasing their losses. Problem gamblers can usually be found in bars, internet cafes, or any other public location where they are easily accessible. Because these individuals do not recognize that they have a problem, their problem gambling addiction gets out of control.
The bottom line: if you make a habit of using credit cards to pay for your casino gambling activities, you have a problem. If you use cash to buy drinks at restaurants, you have a bigger problem. You should consult a local tax professional who can assist you with obtaining additional help if necessary.