Ezel / IRS Rulings / 201539028

Nonresident gambler losses and session netting addressed

Number
201539028
Outcome
Advice
Document type
Chief Counsel Advice
IRS subject
Wagering Losses; Tax on Nonresident Alien Individuals
Topics
Income and deductions International
Code sections
§ 165, § 871
Ruling dated
February 18, 2015
Publicly released
September 25, 2015
Source
View Official PDF

Apply this to your situation

This page covers legal advice the IRS Office of Chief Counsel wrote for IRS staff, issued in 2015, which can't be cited as precedent. Ask about your situation and see what the current Code and IRS guidance say, with citations.

Currency note: this determination was released in 2015
Statutory amendments, regulation changes, court decisions, or later IRS guidance may have changed the analysis since then. Treat this page as historical context, not current tax advice. Verify current law before relying on any specific rule, threshold, or position mentioned here.
Not precedent. Under 26 U.S.C. § 6110(k)(3), this written determination may not be used or cited as precedent. It is advice from the IRS Office of Chief Counsel to IRS personnel on the facts they presented, and identifying details were redacted by the IRS before release. The official IRS release (linked on this page as a PDF) is the authoritative source.
About this page: The plain-English summary and ruling snapshot below were written by Ezel based on the official IRS release. The full text is the IRS's own document.
View official IRS release (PDF)

Plain-English summary

Chief Counsel discussed casino player-card records used by a nonresident alien gambler to calculate gains. Unless the gambler was a professional or used session netting, losses were not taken into account. The IRS had no position at that time on whether player-card data could be used for session netting.

Ruling snapshot

  • Question: How wagering losses and player-card data affect a nonresident alien gambler's taxable gains
  • Outcome: Advice given, with no IRS position on player-card use for session netting
  • Key authorities: I.R.C. §§ 165, 871

Full text (IRS public release)

ID:          CCA-02181139-15                    [Third Party Communication:

UILC:        871.00-00, 165.08-00               Date of Communication: Month DD, YYYY]

Number: 201539028
Release Date: 9/25/2015
From: -------------------
Sent: Wednesday, February 18, 2015 11:39 AM To: ---------------------
Cc:
Subject: Follow-up

Hi --------,

Ordinarily, casinos provide year-end statements of player’s card data that reflect information from which the NRA gambler can calculate gains. Unless, the NRA is a professional gambler or employs session netting, the NRA’s losses are not taken into account. The Service has no position at this time as to the use of the player card in session netting.

I am working at home today. My cell phone number is --------------------.

----------

What does the Code say today, for your facts?

This advice was written for IRS staff and cannot be cited. Ezel checks the current Internal Revenue Code and IRS guidance against your situation, with citations.

Opens in Ezel Pro.

  • Checks the law as it stands today, not only this page
  • Cites every source it relies on, so you can verify it
  • Chat, drafting and research in one workspace