Quoted from BillySastard:ElectricCircuit said:
Oh I also make approx 6-9k a week on sports betting in Vegas. Also we have casinos here in Michigan; I profit about 3-4k a week there.
ElectricCircuit said:I could be a professional gambler if I could leave my family and go to Vegas but I just can't. I do fly there for march madness and make about 80-120k a year though.
Quick hypothetical-only calculations:
$500,000 of ordinary income, presuming no tax-sheltered investments equates to about $230,000 in income-tax due include SE tax & FICA, presuming 46% total tax bracket at that income.
If $800,000 as gross income flow through to schedule C, assume 50% of that as deductible expenses (way overestimated but this is all hypothetical anyhow), so $400,000 bottom line income on Schedule C taxed as ordinary income would equate to another $184,000 in income tax liability.
total tax liability per year: $414,000.00, or quarterly estimate payments of $103,500. Actually I think at that level, monthly estimate payments would be required, so $34,500 per month due the IRS in estimated tax payments. THAT'S a lot of quarters in pinball machine just for taxes.... 138,000 of them to be exact!
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