W-2G threshold for 2026: $2,000
For payments made in 2026, casinos and other payers issue a Form W-2G when a win reaches $2,000, up from $1,200 for slots and bingo and $1,500 for keno. The threshold is indexed for inflation after 2026. Winnings below it are still taxable income.
Checked 2026-11-06. Sources: IRS Instructions for Forms W-2G and 5754 (Jan 2026); IRB 2026-19.
What changed
"The minimum threshold amount for payments made in calendar year 2026 is $2,000."
"Information reporting on gambling winnings reported on Form W-2G was governed by the same statutory threshold, but regulations under section 6041 provided that the dollar threshold was $1,200 for a single winning from bingo and slot machine play and $1,500 for a single winning from keno. The statutory amendments made by the OBBBA change the dollar thresholds for all of these payments to be $2,000 in a calendar year for payments made after December 31, 2025, with an adjustment for inflation in calendar years after 2026."
Thresholds at a glance
| Winnings from | Before 2026 | 2026 | Regular 24% withholding? |
|---|---|---|---|
| Slot machines, bingo | $1,200 | $2,000 | No |
| Keno (after the wager) | $1,500 | $2,000 | No |
| Horse and dog racing, sports and other wagers paying at least 300 times the stake | $600 | $2,000 | Yes, if winnings minus the wager exceed $5,000 |
| Lotteries, sweepstakes, wagering pools | $600 | $2,000 | Yes, if winnings minus the wager exceed $5,000 |
Poker tournaments use the applicable threshold measured on winnings net of the buy-in. Backup withholding of 24% applies to reportable winnings when the winner gives no correct taxpayer identification number.
What it means for you
- A $1,500 slot jackpot in 2026 gets no W-2G, but it is still income you report.
- A $2,500 slot jackpot gets a W-2G. No tax is withheld unless you do not give your SSN or ITIN.
- A $10,000 lottery prize gets a W-2G and 24% federal withholding ($2,400), and your state may withhold too: see the lottery tax calculator.
All gambling winnings go on your return, W-2G or not, and losses are deductible only if you itemize: from 2026 at 90% (the 90% rule). Estimate the tax with the gambling winnings tax calculator.
Questions
What is the W-2G threshold for 2026?
$2,000 for payments made in calendar year 2026, the same for slots, bingo and keno. It is adjusted for inflation from 2027.
Do I pay tax on a slot win under $2,000?
Yes. All gambling winnings are taxable, whether or not you get a Form W-2G. The threshold only decides whether the casino reports the win to the IRS.
Is tax withheld from a $2,500 slot jackpot?
Usually not. Regular gambling withholding does not apply to slots, bingo or keno. The casino withholds 24% backup withholding only if you do not give a correct taxpayer identification number.
When is 24% withheld from gambling winnings?
When winnings minus the wager are more than $5,000 from sweepstakes, wagering pools, lotteries, or parimutuel and sports wagers that pay at least 300 times the stake.
21+ in most states. If gambling stops being fun, free confidential help is available 24/7: call or text 1-800-GAMBLER (National Council on Problem Gambling).
Sources
- Rev. Proc. 2025-32, section 4.01 (2026 tax rate tables) and 4.14 (standard deduction)
- IRS proposed §1.165-10, Internal Revenue Bulletin 2026-19 (90% wagering loss limit, P.L. 119-21 §70114)
- Instructions for Forms W-2G and 5754 (Rev. January 2026)
- IRS Topic no. 419, Gambling income and losses
Checked 2026-11-06. The 90% rule is law (P.L. 119-21); the IRS regulation implementing it is still proposed. Bills to restore the 100% deduction have been introduced in Congress but not passed. This is an estimate for planning, not tax advice; a tax professional can check your full return.