Charleston, W.Va. (AP) -- The West Virginia Lottery Commission plans to remind video gambling parlors that they must comply with federal tax law regarding customers' winnings.
The West Virginia Association of Club Owners & Fraternal Services claims that some gambling parlors aren't reporting winnings withheld from customers to the internal revenue service.
Lottery director John Musgrave told the Charleston Gazette that letters would be sent to video gambling parlor owners this week reminding them to file proper federal income tax forms.
Federal law requires video gambling parlors to withhold 28 percent of customers' winnings if the payout is $1,200 or more on a single turn.
(Copyright 2010 by the Associated Press. All rights reserved.)
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