TAXATION ON POKER TOURNAMENT Name: Grade Course: Tutor`s Name: (13, December, 2010) Taxation on Poker Tournament Abstract Gambling has been meet with mixed reaction; that of being a game of chance or skills. It is worth noting that since the enactment of tax provision that concerns wagering, tournament pokers has tremendously change and televised across the country (Garcia, 2010). Two notable cases concerning poker tournament include that of George E. and Gloria Tschetschot v. Commissioner and Commonwealth of Pennsylvania vs. Diane A. Dent. In the first case (George E. and Gloria Tschetschot v. Commissioner), the court rejected George and Gloria arguments that tournament poker is not a gambling or wagering game but rather an entertainment and professional sport. It was held that there were no meaningful differences that could warrant different treatment in terms of taxation. The two arguments for poker tournament to be treated as any other tournament sports for instance tennis and golf was rejected. Wagering and gambling is treated by congress differently from other business does not go against of equal protection. The losses were thus limited by code Sec. 165 to the amount of what she could have won from the tournament. Lack of clear demonstration that they acted in good faith or there was a reasonable cause for understatement, constitute to accuracy related penalty (George E. and Gloria Tschetschot v. Commissioner, 2007). In the trials, it was held that Georg...