Alabama Tax Tribunal Rules on Deductibility of Personal Property, Gambling Losses
Bloomberg Tax News
The Alabama Tax Tribunal ruled that gambling losses are deductible up to the amount of winnings, but losses from the sale of personal-use property are not.Summary
The Alabama Tax Tribunal ruled that taxpayers could deduct gambling losses up to the amount of their gambling winnings but could not deduct a loss from the sale of personal-use property. The case arose from a Department of Revenue assessment of additional 2014 income tax after the taxpayers failed to timely file a return and later claimed deductions for both gambling losses and a $34,000 loss on the sale of property originally purchased for personal use in connection with plans to build a home. The Tribunal held that losses from the sale of personal-use property are not deductible under Alabama law.
(Source：Bloomberg Tax News)