BETMGM Users need to stop gambling by Dec 31

Attention, BETMGM Users: The IRS Thinks Breaking Even Is a Profit Now

Imagine this: You win $10,000. Then you lose $10,000. In any rational world, that’s called breaking even.

But welcome to America, where the IRS now calls that a $1,000 taxable gain, thanks to the One Big Beautiful Bill Act. Yes, that’s the actual name. And no, it was not written during a fever dream. It was signed into law on July 4, 2025, because nothing says “independence” like taxing you for zero dollars.

Starting January 1, 2026, gamblers who itemize can only deduct 90% of their losses. That missing 10%? The IRS treats it like real income, even though it doesn’t exist. It’s like being mugged, then fined for not having more cash.

The Math (Because Even Bets Are Now Taxable)

Let’s walk through it like a BETMGM blackjack dealer who’s suddenly moonlighting as your tax accountant.

You win $10,000.
You lose $10,000.
Old rule (2025): You owe nothing. You broke even.
New rule (2026): You owe tax on $1,000. Why? Because only 90% of losses count. The IRS says, “We kept the change.”

This is what the government now calls “phantom income.” You know, income you didn’t actually get. Like a ghost, but less fun and more expensive.

So When’s Your Last Safe Bet?

December 31, 2025. That’s the deadline. After that, your hobby becomes a taxable liability.

If you itemize your deductions and you’re still gambling at BETMGM on New Year’s Day 2026, you’re basically handing the IRS a cover charge to your own financial breakdown.

Even if you’re losing. Especially if you’re losing.

Does This Affect You?

Let’s break it down:

If you itemize: Yes, this absolutely affects you. Stop gambling at BETMGM by December 31.
If you’re a professional gambler: Hope you like spreadsheets and sadness.
If you take the standard deduction: You were already getting screwed. This just adds a laugh track.
If you’ve already lost everything: Don’t worry, Uncle Sam still wants a piece.

BETMGM’s Silence Is Deafening

You won’t see this plastered on BETMGM’s homepage. No flashing banner that says, “Gamble now before the IRS steals your ghost money!” No pop-up with a countdown to your tax doom.

But rest assured: they know. The American Gaming Association has been lobbying to reverse the rule. Lawmakers from Nevada tried to repeal it. There’s even a bill called the FAIR BET Act floating around Congress. But right now? Nothing’s passed.

So as of today: this tax change is happening. And no one’s going to warn you, except maybe this blog post.