I would rather win $4.5k vs say 6k which is going to bet 4.2k. Probably better to chop in this situation as you don’t take on additional risk even as a chip leader to potentially get super unlucky and not get full win amount when you lose the tournament. A chop for $4.5k is prolly smarter move Vs risking to win 7-8k as 30% of money is going to be taxed (around that rate). It’s kinda smart to think about this when making deals etc in tournies where you may only get $4-7k. If I cash for $5501- now a tax form is filed as we bink more than $5k. but you likely also get a W-2G form (or maybe a 1099-MISC) form (and so does the irs) so you had better claim it properly.Īny amount over $5k of buyin, you can either have taxes withheld or can take full cash amount but paperwork is filed with IRS so they know what you won and how much to tax.Įxample- I play a $500 tourny and win $5499- no tax paperwork is filed as I profited $4999.
I don't know about Parx specifically, but the way it usually works is that above some amount (1-2k maybe?) they will either automatically withhold 30-40% for fed tax, or will require you to fill in a form and provide your SSN to maybe get it all.
