By Anna-Louise Jackson, Bankrate.com

The house always wins in gambling, and soon it could feel like Uncle Sam does too. That’s because gamblers face what amounts to a tax hike beginning in 2026: They’ll no longer be able to deduct the full amount of their wagering losses.

New rules included in the massive tax bill that was signed into law in July will reduce the tax deduction gamblers can claim on their losses, from 100% to 90%, starting next year.

Consider this: If a gambler wins $20,000 and loses $20,000 in the same year, this change in tax law affects how much of those losses they can deduct:

—In tax year 2025, before the new rule, the taxpayer can deduct the full $20,000 in losses.

—In tax year 2026 and beyond, the taxpayer can only deduct 90% of their losses, or $18,000.

Even

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