Why gamblers could now still owe money, even if they break even

(NEXSTAR) – Thanks to a provision buried among the hundreds of pages of the Trump’s Big Beautiful Bill is a tax provision that limits gamblers’ ability to offset their losing bets.

“Only 90% of wagering losses are now deductible, up to the amount of their winnings,” according to tax preparation company H&R Block.

With March Madness in full swing and the NBA Playoffs rapidly approaching, sports bettors now have another consideration as they place wagers in 2026.

While the change to the tax code may seem small at first, Cato Director of Tax Policy Studies Adam N. Michel says it represents a larger problem with the tax code.

“That means a gambler who breaks even over the year will still owe tax on income they never actually earned,” Michel writes.

Imagine a person who wins $10,000 on the Super........

© The Hill