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By Matthew Makowski. Originally posted January 7, Updated on January 11 at pm. Investing rock star Warren Buffett has called Bitcoin rat poison, a mirage and worthless.

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Risk free betting offers in compromise

William Hill gained market access into Illinois through Caesars Entertainment, which now owns William Hill after an acquisition expected to be finalized in March FanDuel may have gone in reverse order in Illinois — it launched online wagering in the Land of Lincoln on Aug. The sportsbook, which was put together in a six-week sprint, is located just off the casino area proper and next to the Tin Lizard Bar and Grill. The actual sportsbook area includes three manual teller spaces and six self-serve kiosks, with the latter all partitioned by plexiglass per COVID protocols.

PointsBet also commenced online wagering before retail betting, but it made a notable splash on its Sept. It became just the third horse racing track in the United States to offer live betting along with Monmouth Park and the Meadowlands in New Jersey. The sports betting area in the lobby is temporary as plans are underway to turn Hawthorne into a racino with a target opening date of December Still, a lot has been put in a relatively small space: Bettors will find 26 self-serve kiosks in a relatively compact area, save for four that are located in the VIP area where patrons can watch the horses make their initial turn on the 1-mile dirt oval.

The kiosks are grouped together in bunches of four or six, and are partitioned by plexiglass per COVID protocols, and six-foot social distancing markers are visible at both the self-serve kiosks and the three manned teller windows. In total, up to 10 casinos in Illinois, three race tracks and seven professional sports venues could possibly seek sports betting licenses.

State Rep. Mike Zalewski re-filed a bill with the General Assembly that would amend the Sports Wagering Act and allow bettors in Illinois to wager on games involving in-state colleges and universities. The first off-track betting site to also accept sports wagers in Illinois is operational in the south suburbs of Chicago as Club Hawthorne in Crestwood is open for business.

As mentioned earlier, the first bet was taken in Illinois on March 9, , at Rivers Casino, and days later the Argosy Sportsbook also opened its doors. But both sportsbooks did so as the U. BetRivers launched its mobile site on June FanDuel began taking mobile bets first on Oct. PointsBet also went mobile, then retail — it took its first wagers online Sept.

William Hill had the most recent launch of any sports betting operator, taking its first mobile wagers Sept. Sports betting champions and state legislators Bob Rita and Mike Zalewski had to do a lot of horse trading to get sports betting tacked onto a capital bill and eventually passed. That meant including a mandate for official league data , requiring in-person registration for the first 18 months, delaying the launch of stand-alone mobile platforms, banning betting on Illinois colleges, and including some tricky branding rules.

By the end of it, stakeholders were happy to have sports betting, but had plenty to unpack. FanDuel and DraftKings pushed back , including briefly running ads lobbying against the delay, and lawmakers offered up a compromise of 18 months. That was not its first choice, having entered negotiations with Fairmount Park in March in hopes of launching a mobile platform shortly after purchasing the track and getting licensed.

While that deal appears to be in the process of moving forward to be finalized, no timetable has been established for when FanDuel will make a formal transition for both retail and online sports betting. Lawmakers also compromised with stakeholders by honoring a request by state universities to ban betting on college sports.

In addition, retail casinos wanted a requirement to include in-person registration for mobile accounts, and the compromise is to require that until the first mobile-only sportsbook is approved before switching to remote registration.

Tennessee was the first state to include this requirement in its law. Illinois quickly followed suit, as did Michigan. The capital bill that sports betting was tacked onto in Illinois includes all kinds of infrastructure improvements. Its passage was the result of many years of work by lawmakers and brought a round of applause in the Senate when it finally passed. Although methods may vary from one sportsbook to another, Illinois online sportsbooks in general will offer a number of viable depositing and withdrawal methods which are common in other states with safe, regulated legal sports betting.

These options include:. The legal age to place a sports bet is Any restrictions apply mostly to athletes, coaches, team owners and the like, barring them from betting on their own teams, and in some cases more. Though there are no other restrictions written into law on who can bet, those problem gamblers who place themselves on a self-exclusion list will be banned from betting. All sports bets need to occur within the Illinois boundaries and will be managed by geo-targeting technology.

Patrons will be able to bet in person at retail sports betting locations and by using kiosks or mobile device. Illinois sportsbooks will offer the standard bet types, like straight bets, totals, moneylines, futures, parlays, player and game props, teasers, and round robins. However, fans cannot place any bets on Illinois collegiate teams. Depends, but a safe bet will be using common methods such as prepaid cards, Paypal and ACH transfer.

In , the state made it legal for the riverboats to dock and open their casinos. A year later, Illinois became the first state to allow for the sale of online lottery tickets. The discussion about whether to legalize sports betting really ramped up in the summer of , when Rita began holding gaming hearings.

The first hearing was informational in nature. Stakeholders and municipalities were invited to an Aug. Two months later, Rita held a Joint Committee on Revenue and Finance hearing on sports betting that made it clear lawmakers would prioritize sports betting in That hearing also laid at least some of the groundwork for a sports betting bill. In February , Pritzker made it clear he viewed legal sports betting as a priority.

Once Pritzker signed the bill in late June, it was a sprint to get sports betting up and running. Though the IGB approved temporary rules ahead of the first sportsbook opening, it continues to refine its rules packages. Gambling problem? About Contact. This site contains commercial content. Bet on sports online in Illinois now. The Latest Illinois News. February 10, February 9, February 5, How old must you be to bet and are there any restrictions?

Will sports betting be available at retail locations, such as convenience stores? Where can bettors be when placing a wager? Is in-play or live betting allowed? Some critics also fear it opens another possible lawsuit in a state that has already battled daily fantasy operators DraftKings and Manhattan-based FanDuel in court for years.

Mobile sports betting backers in the legislature have dismissed the legal need for a constitutional amendment, a position reaffirmed by multiple gaming industry legal experts. Assembly Member J. Gary Pretlow is arguably the biggest proponent of them all. The biggest Assembly backer of failed sports betting efforts each of the last three years, Pretlow said another chance could come as part of a possible revenue bill that will need to be in place by early next week.

If that fails, lawmakers will have to start over again when the session begins in January. In the statehouse, sports betting will have to fight in the gauntlet of budgetary negotiations, a grueling, frenetic endeavor in Albany in even the best of financial times. By law, the budget must be submitted by April, giving sports betting backers a small window to finally legalize mobile wagering. Few things are politically less popular than tax increases or spending cuts, both of which are on the table as New York looks to take on a Gordian knot of a budget.

Legal online sports betting, on which New Yorkers already wager billions annually through offshore sites, illegal bookies or other states, all without a cent going back to New York, could be one minor part of that solution. By all indicators, that possibility will come down to decisions in Washington D. Sports Betting. Best Books. Legal Online Sports Betting. Ryan Butler. Download App.

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Schumacher from the University of Washington School of Law. In addition to teaching there and directing its graduate tax program, he also directs the federal tax clinic. Very few opinions exist on those types of offers and we are excited for Scott to bring us some insight on the case. The case was presented to the Tax Court on cross motions for summary judgment.

That is also a rarity. The case itself is worth reading. If you have a CDP case in Tax Court you have a high chance that the IRS will file a summary judgment seeking to have the Court rule on the basis of the administrative file in the case. The recent litigation that we have discussed previously in the blog concerning the appellate venue for CDP cases and the absence of a record rule case in the DC Circuit might have some applicability in these types of cases.

Anyone with even a passing familiarity with the Offer in Compromise OIC program knows that in submitting an OIC, taxpayers must offer at least the net equity in their assets plus their net future income over a period of months. So, in answer to the question posed in the title, yes, equity obviously has a role in an OIC.

However, a recent case litigated by the Federal Tax Clinic at the University of Washington School of Law addressed a different type of equity. When they filed their OIC, the Bogarts alleged that it would be unfair and inequitable to hold them liable for the tax liability that stemmed from income embezzled by their bookkeeper.

Ruling on cross motions for summary judgment, the Tax Court remanded the case to IRS Appeals because it failed to adequately consider the OIC on public policy and equity grounds. This case is significant because it highlights the all-too common situation of the IRS asking for abuse of discretion review where it has failed to exercise the discretion in the first place. It is also significant in that it addresses the growing number of cases where taxpayers have been the victim of embezzlement or fraud.

The Bogarts did not learn of the embezzlement until an IRS audit two years after the tax year, and the criminal case against their bookkeeper was not resolved for another two years after that. In the case of embezzlement, the embezzled funds are taxable to the intended recipient in this case, the S Corporation , even though the corporation never actually received the money.

The remedy the tax laws provide is a theft loss deduction. However, in order to claim a theft loss, the investigation, prosecution, and any restitution order must be completed and taken into account before a theft loss may be ascertained and claimed. For the Bogarts, the case against their former bookkeeper was not resolved until four years after the year of the embezzlement.

Because of the limitations inherent in theft loss and the three-year net operating loss rule, any relief from the harshness of including in income the embezzled funds was not available to them. Their only option was to submit an OIC. The problem with an OIC, Doubt as to Collectability, is that they had saved too much money in their retirement accounts and could fully pay the liability. So much for planning ahead for your retirement! They also could not submit an OIC, Doubt as to Liability, because the law is clear that they were taxable on the embezzled funds and were not entitled to a theft loss deduction.

In implementing the ETA Offer rules, Congress specifically instructed the Service to consider hardship, public policy, and equity. In fact, we submitted that other taxpayers would be shocked to learn that someone could be taxed on income that was stolen before it was ever deposited into their bank account.

In addition, Congress provided a remedy to ameliorate this unfairness — a theft loss. However, because the investigation and prosecution of embezzler took so long, the Bogarts could not claim a theft loss to reduce their liability. This is precisely the type of case where equitable relief should be granted — the strict application of the tax laws create a result that Congress and the public would find unfair. The Tax Court agreed that the case should be remanded.

Even though the rejection of an OIC is reviewed for abuse of discretion, the Court has repeatedly held that the IRS abuses its discretion when it fails to adequately consider a proposed collection alternative. Here, the appeals officer never explicitly addressed the equity argument, and remand was therefore required. Indeed, perhaps the most common area where this occurred is in innocent spouse cases.

While it appears to be getting better, the IRS would almost routinely deny a claim for innocent spouse relief without providing any reasoning. See sec. But at the administrative level repondent did not consider whether the theft loss constituted exceptional circumstances—even though petitioners requested relief on public policy and equity grounds. The administrative record indicates that respondent did not consider those grounds but focused solely on economic hardship grounds.

How appalling! I bet the problem is in the regulations, not the statute. If it is, then the Bogarts should argue that the regulations fail Chevron, in their case at least, by creating a recognition rule that defeats the unambiguous purpose of the regulation given the existence of a 3-year loss period.

I do not know the issue well enough to have an opinion on the likelihood of success in attacking the regulations if the problem is in the regulations. Even if a low income tax clinic agreed to handle the attack, the toll of waiting for several years and the effort necessary to succeed might not equal the benefit of a quick resolution. For low income taxpayers who have high success rates with offers in compromise, the equation in representing them often includes a balancing of the benefits of prolonged fighting about the underlying liability versus the possibility of a relatively quick and easy resolution through the offer process.

Here, the amount offer is worth taking a hard look and the fact that it is an ETA offer means than a normal offer on doubt as collectibility is unavailable. The clinic working the case and the client may have looked at the prospect of fighting the merits and decided that even if they might succeed, the cost would be much higher. Under the constructive receipt doctrine, a taxpayer is presumed to have received funds even when there is a theft.

With respect to IRC Sec e , a theft loss is deductible in the year of discovery. However the regs at 1. The Bogarts had to pursue legal remedies, however long they took, before they were entitled to the loss. They were trapped by an inequity in the law. But the court put it back in the hands of Appeals, and appears to left Appeals free to specifically address the issue and say no.

While that may not have happened, it is uncertain that this type of OIC will work in the future, as an Appeals Settlement Officer could still address the inequity and say no. As a result, all casinos in New York may potentially operate sportsbooks if they wish. DraftKings and del Lago Resort reached an agreement in to cooperate on sports betting. That resulted in the launch of the 6, square foot DraftKings Sportsbook at del Lago in The partnership between Tioga Downs and FanDuel also extends to online and mobile betting should those become legal as well.

The Seneca Buffalo Creek Casino sportsbook opened in December with a teller window and nine self-serve kiosks. Seneca Buffalo Creek also offers a mobile bet builder that can be used to create a wager ahead of time and generate a QR code that can be scanned at the betting window for faster service. The property also hosts 14 self-serve betting kiosks. The Seneca Niagara sportsbook also opened in late , beginning with a temporary sports betting area while a permanent sportsbook was constructed into The sports betting referendum that brought retail sportsbooks to New York is limited in scope to bets placed in-person at casinos.

The law was actually written specific to commercial casinos located in upstate New York, but gaming compacts between Native American Groups and the state allow tribal casinos to offer any game authorized by state law. One other key area the law does not address is online sports betting. Lawmakers will need to pass additional legislation to authorize mobile sportsbooks in New York, but progress on that front has been stalled by competing views of how and if that should be accomplished.

Lawmakers have introduced multiple bills since to legalize mobile betting but have been stymied at varying points along the way. Even so, New York looks increasingly likely to pass an online sports betting bill sooner or later. One potential roadblock to passing new legislation is the opposition of prominent anti-gambling senator Liz Kreuger.

She chairs the Senate Finance Committee and could singlehandedly strike down any law that passes her desk. This represents a serious problem for sports betting legislation because it would have to go through the Finance Committee due to its potential impacts on state finances. A second roadblock comes from Governor Andrew Cuomo, who insists legalizing mobile sports betting would require a constitutional amendment — a much more involved process than merely passing a new law.

Governor Cuomo spoke fondly of sports betting at the time, but it turned out his support of betting extended only to retail sportsbooks and he declined to include the provision in the budget bill. Lawmakers discussed taking up the issue again in but were unable to reach a consensus before the end of the legislative deadline. Current efforts to legalize sports betting in New York are just the latest of numerous other efforts undertaken by legislators to make something happen. Senate Bill sought to legalize sports betting at state casinos on the condition that federal law changes to allow states such as New York to regulate sports wagers.

This legislation would have permitted online and mobile wagering, authorized the Gaming Commission to establish regulations and called for a tax rate of 8. Lawmakers struck a compromise and included a 0. In a press release announcing the introduction of the bill, Bonacic said this:. If allowed, sports betting will be a revenue enhancer for education in New York. We have the chance to ensure our sports betting statute is fully developed and addresses the needs of the state and all stakeholders so we can hit the ground running if and when we can authorize and regulate sports betting.

That bill did not make it through the process before the end of the legislative session. The market demand is clearly there and has been more than demonstrated over in New Jersey where the majority of wagers made via mobile devices already outstrips those made in-person. International online sports betting company Bet reached an agreement with Resorts World Catskills in November to offer online and in-person wagering pending regulatory approval.

Under that agreement, Fox Bet will provide support services to a retail sportsbook at the Akwesasne Mohawk Casino Resort with options to also operate mobile sports betting, online poker and online casino games if permitted by state law. Rivers Casino Schenectady has already begun construction on a retail sportsbook and will likely look to launch online betting under the BetRivers.

PointsBet also has some kind of deal in place with Tioga Downs, but it is unclear how that agreement would interact with the deal FanDuel already has in place with the same racetrack. All we have to go on is an early press release announcing the launch of PointsBet NJ that mentioned the Tioga Downs partnership in passing.

Caesars Casino will establish itself in the New York sports betting market through a deal reached with the Oneida Indian Nation in January A press release issued at the time did not mention mobile betting. Horse racing betting is widespread and readily available across New York. The Horse Racing division of the New York State Gaming Commission oversees the conduct of racing and parimutuel wagering within the state.

The Commission. Under New York law, advance deposit wagering online betting may be offered by licensed operators. The most prominent online parimutuel wagering providers licensed in NY include:. Five government-run public benefit corporations control off-track betting locations OTBs across the state.

Each corporation maintains a current list of OTB locations below:. New York continues to be one of the most trouble states for daily fantasy sports despite passing legislation to legalize the activity in Fantasy sites first came to New York before the legality of fantasy contests was clear. After several years of operating in the state, the major DFS sites were forcibly ejected due to an unfavorable opinion from the Attorney General and subsequent cease-and-desist orders.

He issued a pair of cease-and-desist letters to FanDuel and DraftKings that ordered both sites to stop operating within the state immediately. Major providers FanDuel and DraftKings fought the order, and experienced a number of ups and downs over the next year.

They later pulled out again as a part of an agreement to help push two pro-legalization bills that were progressing through the state legislature. The companion bills seeking to legalize and regulate fantasy sports in New York eventually made their way through the legislature to land on the desk of Governor Andrew Cuomo.

He signed the bills on August 3 rd of to finally legalize real money daily fantasy sports. Unfortunately for DFS players, the story does not end there. Anti-gambling groups sued Governor Andrew Cuomo shortly after the passage of the fantasy sports law.

The lawsuit is ongoing to this day. In , an appeals court ruled against the daily fantasy industry by declaring the law unconstitutional. New York has flirted with legalizing online gambling for years, particularly online poker. Lawmakers have shown no real interest in passing legislation to legalize online casinos in NY, but they have considered multiple bills to authorize online poker.

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