How do taxes on lotteries, casinos, sports betting, and other types of state-sanctioned gambling work? Q.How do taxes on lotteries, casinos, sports betting, and other types of state-sanctioned gambling work? A.Various forms of state-sanctioned gambling, including lotteries, casinos, parimutuel wagering (e.g., horse racing), sports betting, and video games (e.g., video poker), are taxed. State and local governments collected a combined $35 billion from state-sanctioned gambling in 2021. Read more about How do taxes on lotteries, casinos, sports betting, and other types of state-sanctioned gambling work?
How do state and local soda taxes work? Q.How do state and local soda taxes work? A.A "soda tax" is generally imposed as a per ounce excise tax on drinks sweetened with sugar. No state currently levies taxes on soda alone, but a few localities do. Read more about How do state and local soda taxes work?
How does the federal income tax deduction for state and local taxes work? Q.How does the federal income tax deduction for state and local taxes work? A.Taxpayers who itemize deductions on their federal income tax returns can deduct state and local taxes--specifically property taxes plus either income taxes or general sales taxes. However, the Tax Cuts and Jobs Act limits the total state and local tax deduction to $10,000. Read more about How does the federal income tax deduction for state and local taxes work?