Royal Caribbean has made it easier than ever to prove your casino losses to the IRS, but it’s also a sobering reminder for some cruisers.
Casinos on cruise ships are required to report significant winnings to the IRS, which has an impact on income taxes.
In practical terms, that means a situation when you get a slot machine jackpot or a video poker machine payout worth $1,200 or more. When that happens, the casino staff pays you cash on the spot for your winnings and you fill out a form that goes back to the IRS, assuming you’re an American citizen.
Of course, you’re supposed to technically report all casino winnings to the government, and deduct all loses. In practice, most people don’t track their losses in such a manner until they run into a jackpot.
