Will McCain Declare His Gambling Winnings or Follow Stevens Down the Toobz?
John McCain has called on Toobz Stevens to resign from the Senate.
Yesterday, Senator Ted Stevens was found guilty of corruption. It is a sign of the health of our democracy that the people continue to hold their representatives to account for improper or illegal conduct, but this verdict is also a sign of the corruption and insider-dealing that has become so pervasive in our nation’s capital.
It is clear that Senator Stevens has broken his trust with the people and that he should now step down. I hope that my colleagues in the Senate will be spurred by these events to redouble their efforts to end this kind of corruption once and for all.
Note how McCain stresses that Stevens was found guilty of insider-dealing. But that’s not correct. Rather, Stevens was convicted of not declaring gifts on his Senate Financial Disclosure Forms. From Toobz’ indictment:
Beginning in or about May 1999, and continuing to in or about August, 2007, in the District of Columbia and elsewhere, in a matter within the jurisdiction of the legislative branch of the United States Government and subject to the legislative function exception, STEVENS, while a sitting United States Senator, knowingly and willfully engaged in a scheme to conceal a material fact, that is, his continuing receipt of hundreds of thousands of dollars’ worth of things of value from a private corporation and its chief executive officer by, among other things, failing to report them, as was required, on STEVENS’ required yearly Financial Disclosure Forms.
[snip]
STEVENS knew the requirements of the Financial Disclosure Forms, and knowingly and intentionally sought to conceal and cover up his receipt of things of value by filing Financial Disclosure Forms that contained false statements and omissions concerning STEVENS’ receipt of these things of value.
All in violation of Title 18, United States Code, Section 1001(a)(1) and (c)(1) and (2).
It’s funny McCain should make that mistake, given that he himself appears to be guilty of similar omissions in his Senate Financial Disclosure Form. Despite public reports of McCain gambling–and, at times, winning–large sums, he has never reported his gambling winnings on his Senate Financial Disclosure Forms.
Given McCain’s call on Ted Stevens to do the right thing, isn’t it time McCain himself avoid the crimes Stevens just got convicted of?
Can I has attack ad pleez?
Thanks ew.
digg
and upvote on reddit
Do you have to declare wampum?
Wampum is actually a way of recording history. Stevens did not faithfully recorded his wampum. McCain has hidden his wampum under a bushel instead of letting it shine like a city on a hill.
Oh how I love religious imagery.
Sort of like quipu, huh? I regretted that comment the moment I hit “Submit”.
Kind of the same. Wampum (which was basically shells on a string) was originally devised by Hiawatha to remember the things he had to say when he was helping found the Iroquois Confederacy (Haudenosaune). This record and governmental system was liberally borrowed from by Franklin, Jefferson et al in founding those pesky democratic colonies.
This could be the only time I can recall where both the Presidential and Vice-Presidential candidates of a major party went into the election with a creditable possibility of criminal charges arising out of their pre-election conduct. McCain is looking at serious trouble if he did like Toobz did. And there are scads of questions being asked and unanswered about the Palin house and exactly how they got it built, not to mention her state-law problems about Troopergate.
And don’t tell me to let bygones be byognes. The Seligman prosecution (and the Fieger prosecution, too) means that boat has sailed.
And now there are questions of nepotism in protecting McCain’s 1964 driving record from scrutiny.
Great post EW. I simply cannot fathom how McCain has gotten away with this….apparently for years. Surely there are people out there who have played craps with him and seen him leave the tables having won more than $200?
Where are they?
How long do casinos keep their video tapes of the games. I am sure Nevada has a law….
I suppose we must consider the possibility that he’s never come out ahead over the course of a year. Or is it different from income taxes — would they have to be reported even in that case?
It wouldn’t surprise me at all if a compulsive gambler like McCain has lots of stories about his big wins, but has actually lost overall.
I think with both, especially with taxes, you’ve got to declare the winnings even if you show you lost overall.
For taxes, you’ve got to show the math (as you would do with losses from stocks, for example). For Senate Disclosure, we have a right to now the scale of winnings the guy who has been one of the key legislators on gambling issues has had.
What are the disclosure rules? Can you avoid listing gambling winnings if you have a net loss for the year?
Everything about his campaign gambles makes me think that he does not win at the tables either.
OK — calling whoever it is on KO’s staff who reads here…pick this baby UP!! I’d love a special comment about “Another McCain Hypocrisy Moment”.
The disclosure form (PDF) is here, the second line says,
Seems pretty clear to me. Looks like a tax form I have to fill out for my business: if you earned money or tripped over a rock and found three hundred dollar bills underneath, check here and fill out the form.
Finishes with this little statement:
Someone correct me if I’m wrong, but when I was in Vegas, over a certain amount,$1,500. rings a bell, taxes are automatically deducted from winnings. Would McCain be required to declare these winnings, if taxes had already been deducted?
I remember because a friend hit a $3,000. jackpot and they took taxes out of it.
That wouldn’t excuse his responsibility to list the winnings on the disclosure forms for the Senate though, would it?
I really don’t have a clue.
Since McCain is a big supporter of gambling interests, it’s possible that the casino(s) where he won simply “looked the other way.”
We know about the tribal casinos, but did he ever have a private room in Sheldon Adelson’s Vegas casino?
Don’t know. I was just going by stories like this one.
Cannot remember when I first read of McCain’s gambling but it’s only been in the past six months. This issue, especially in light of his influence on Indian Affairs, worries me more about his judgement than any of the other revelations about him.
I am betting on snake eyes.
Not just the winnings – would not “comped” suites and entertainment, private plane rides and so forth common for high rollers from casinos and casino owners with business before the Senate possibly be considered “gifts” and therefore be disclosable?
Excellent points re the freebies for high rollers. Also, wonder if Cindy’s prenup included covering her hubby’s gambling losses?
If not, could give even more import to the concept of “looking the other way”.
If you get comped for rooms, meals, etc, it could be called a “gift”. That’s what sunk Senator Toobz, he got goods and services for nothing, but didn’t report it. As the form says,
And it’s aggregating, so trips to casinos add up over a year.
McCain adds “I was a POW” each year to his tax returns to avoid audits.
Are you serious about this post? If you hit McCain on this…you better be prepared to hit most all politicians in DC. Bet it wouldn’t take long to get that laundry list. Check the last article for Dem examples.
Here is the link…see my posting:
http://oxdown.firedoglake.com/diary/1163
there aren’t too many gamblers in history who have “winnings” and loses are weighed against gains in a tax period
for instance if mccain won today 10,000 dollars but lost 100,000 dollars in the tax period there is no income tax
and unless you are a cheater there are no “winners” gambling against the house, the only winners gamble against other players (poker is an example)
no, card counters do not win at blackjack either, that is a myth spread by the casinos themselves
I also believe the “freebys” can be counted against losses and would not count as income either
Perris–
I believe you are correct regarding the consequences–but the obligation still demands the reporting; and losses can only offset the actual amount of winnings (don’t know whether the losses can be carried forward). Still, from what I’ve read, regarding the IRS, the winnings MUST BE REPORTED, regardless of losses.
the winnings must be reported, they are counter weighed against the losses, they losses do carry forward for a tax period, though I don’t think they carry forward for more then the tax period
for instance, poker players ride a roller coaster, a good player can expect to win 7 out of 10 times.
a good poker player wins about a big bet an hour on average over the course of the year but there are big losses to go with the wins
if they the losses were not counted against their winnings there would be no poker playing making a winning, it would all go to the irs
regardless, mccain is craps, craps players cannot win unless on a big score they never play the game again
I agree mccain to pass irs code would have to list his winning days and counter ballance those with his losing days but I do not believe any gains would be part of his finances since they are counterweighed against his losses
But when the average casual gambler comes away a winner from a casino he doesn’t have to walk out with receipts for the IRS. What ensures that professional gamblers declare winnings?
The way it is in the parimutuel betting at the horse track is that you’re only forced to declare a winning if a single bet pays $600 or more to one — you actually have to go the “IRS window” if you have that kind of winning ticket, whereas you could net $10,000 on a single race with multiple bets/tickets and never have to declare. Therefore only a professional would declare the more minor winnings/losses.
One of the less englightened reasons I was happy Democrat Martin O’Malley won the Maryland governorship is that now a slots initiative will pass and will hopefully resuscitate the states well-pedigreed, but neglected tracks. Spread the wealth.
Bill Bennett doesn’t see it as an issue. Moving along…
Add Keating Five reduc in late 1990s.
http://www.mcclatchydc.com/254/story/54851.html
“redux”
McCain is a crapper dude; but you just had to use a Wheel (roulette) now didn’t you??
Heh heh
I don’t want a President who wants to gamble with my country and my future.
That is all.
Pachacutec has a diary at The Oxdown Gazette!
ACORN Thanks Firedoglake and Its Other Allies
Good catch EW. Perhgaps the good people at CREW would be interested.
Well as a counselor who has treated a few gambling addicts, once they get into the compulsion, most lose more than they win. It’s my understanding that you only have to report winnings if you win more than you lose. (in the entire year…so if you win one night lose the next two…you don’t make money in the end). This is the reality of casino life. It’s a very rare bird who actually has something to report on the old tax form at the end of the year…if they are a frequent flyer.
I had a client who won 20,000$, it was gone in a week. (most of it gone at the casino…going for that mil, you know?)
McCain has to be a net winner for the full fiscal year for him to have had tax liability on his winnings, which I assume is also the standard for reporting them to the Senate. Not having adequate records is no defense (”I was too drunk to count my winnings”); neither is spending them all with the same casino on booze, babes or other toys. But not having records would make it harder to prove he had them or that he hadn’t paid tax on them (a problem Al Capone had trouble with.)
McCain gambles a lot, dozens of times a year, often at high-roller events. But he may be a net loser. (Fill in your own punch line based on his campaign performance.) Ironically, that would be McCan’t in a nutshell: he wants to be known as a ”gutsy” risk taker, but he’s more comfortable taking risks with other people’s lives and money. (At least until recently, his gambling would have been funded by Cindy Poo.)
McCain is obsessive, angry, and a heavy drinker, attributes that casino owners love because it makes them filthy rich. John Boy doesn’t play cards, he throws dice, a more public drama that keeps him the center of attention. It also means he hasn’t had to learn to play the others at the table (and keep them from playing him, probably all too easy), or even the cards; he just throws and plays Lady Luck, notoriously more fickle than Rita or Eva. And that assumes the dice are straight.
McCain may well have annual winnings that should be declared on his tax and Senate filings. A good start would be having a look at their joint tax returns, which Miss Cindy claims we’ll have to pry from her cold dead hands, like prying Charlton Heston’s Kentucky long rifle out of his. Another route is a statement under oath. I’d say we’ll get one first from Karl Rove about what he did to Valerie and Joe. But the probable lost tax revenue would be a lot more than from the proverbial welfare moms that Bushes I and II and Reagan loved to chase. Seems worth looking into, doesn’t it?
The reason the buttheaded McCain hasn’t declared his winnings is that like most regular gamblers he almost certainly loses money – especially with his consistently terrible judgment about everything else.
Go to: http://www.buttheadpolice.com
Vote for McCain and other extreme buttheads who have the audacity to want to lead us to get asses stamped on their heads. Spread the word! Buttheads will roll!!
EW,
The reports are the McInsane plays craps. While he may have won big on a few occasions, the structure of craps is that it’s a chump’s game unless you’re the bank (i.e., the house). It’s very possible that McCain has no net winnings to declare for any given year.
Disclaimer: I’ve never seen McCain playing craps, so I don’t know how he plays. It’s possible to play the game in a way the minimizes the rate of decline in your fortune. I can (and have) done the math, though. Craps is a chump’s game. It says a lot that it’s McInsane’s preferred game.
If you were an IRS agent, and mcsame tried to convince you that he was winning at the craps table, you’d probably laugh in his face
mcsame is kinda like george bush. They’re never gonna be able to credibly claim success in anything …
CAFFERTY LIVES
and I get the idea that he don’t believe mcsame anymore …
I finally have a reason to post!
Long-time lurker, first-time poster.
EPUd right out of the gate.
I’m a certified tax preparer, studying today for my renewal test.
ALL gambling winnings are reported on Form 1040 line 21 (other income).
Losses are an itemized deduction, reported on Schedule A line 28 (other deductions). The loss claimed cannot exceed the reported winnings. The taxpayer MUST keep a diary recording amounts won or lost, dates, and who was present, or the losses are not deductable.
If someone wins more than $600 at a casino or racetrack the establishment is supposed to withhold taxes and issue a 1099 (misc) with a copy to the IRS.
A taxpayer is on their honor to declare all income.
To emphasize, it’s not a wash. Winnings and losses are reported seperately.
1. It’s funny McCain or… It’s “funny” McCain
2. Gambling wins and losses must be reported on Federal tax returns too.
3. I probably shoul dhave read all the other comments first.