Form 730 Monthly Tax Return for Wagers

730

Monthly Tax Return for Wagers

Form
(Rev. December 2013)
Department of the Treasury
Internal Revenue Service

▲

Enter your
name,
address,
employer
identification
number,
and
month and
year of
return.

OMB No. 1545-0235

(Section 4401 of the Internal Revenue Code)
▶

Information about Form 730 and its instructions is at www.irs.gov/form730.

Name

Month and year

Number, street, and room or suite no.

Employer identification number

For IRS Use Only

T
FF
FD
FP
I
T

City or town, state or province, country, and ZIP or foreign postal code

Check applicable boxes:

Final return

Address change

1

Gross amount of wagers accepted during month (not including laid-off wagers) (see instructions)

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1

2

Gross amount of laid-off wagers accepted during month (see instructions)

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2

3
4a

Add lines 1 and 2 . . . . . . . . . . . . . . . .
Tax on wagers authorized under the law of the state in which
accepted. Enter the amount of these wagers included in line
3; multiply by the amount shown and enter the result . . . $

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3

× .0025 =

4a

4b
4c

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b Tax on wagers other than wagers described on line 4a. Enter
the amount of these wagers included in line 3; multiply by the
amount shown and enter the result . . . . . . . . . $
c
5

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.

.

.

×
.02 =
. . . .

Credits. No credit is allowed unless supported by evidence (see instructions)

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Tax on wagers. Add lines 4a and 4b .

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5

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6
Balance due. Subtract line 5 from line 4c (see instructions) . . . . . . . . . . . . .
6
File this return, your payment, and voucher with the IRS as shown under Where to file in the instructions. Make your check or money
order payable to “United States Treasury.” Write your name, address, EIN, “Form 730,” and the tax period on it.
Under penalties of perjury, I declare that I have examined this return, including any accompanying certificates and statements, and to the best of my
knowledge and belief, it is true, correct, and complete. Declaration of preparer (other than taxpayer) is based on all information of which preparer has any
knowledge.

Keep a copy
of this return
for your
records.

▲

Paid
Preparer
Use Only

Print/Type preparer’s name

▲

Sign
Here

Signature
Preparer's signature

▶

Firm's EIN

▶

Phone no.

730-V

Form 730-V

▼

OMB No. 1545-0235
▶

Do not staple or attach this voucher to your payment.
2

Enter your employer identification
number.

Enter the amount of your payment. ▶

Make your check or money order payable to “United States Treasury”

Enter year and month as shown on Form 730.

Y

Form 730 (Rev. 12-2013)

Payment Voucher

Department of the Treasury
Internal Revenue Service

Y

PTIN

▶

Cat. No. 20585U

Detach Here and Mail With Your Payment and Form 730.

(Rev. December 2013)

3

Check
if
self-employed

Firm's address

▼

Form

Date

Firm’s name

For Paperwork Reduction Act Notice, see instructions.

1

Date

Type or print your name below signature.

Y

Y

M

4

Enter your business name (individual name if sole proprietor).

M
Enter your address.

Send Form 730, this voucher, and payment to:
Department of the Treasury
Internal Revenue Service
Cincinnati, OH 45999-0100

Enter your city, state, and ZIP code.

Dollars

Cents

Page 2

Form 730 (Rev. 12-2013)

Form 730-V, Payment
Voucher
Purpose of Form
Complete Form 730-V if you are making a
payment by check or money order with Form
730, Monthly Tax Return for Wagers. We will
use the completed voucher to credit your
payment more promptly and accurately, and
to improve our service to you.
If you have your return prepared by a third
party and a payment is required, provide this
payment voucher to the return preparer.
Do not file Form 730-V if you are paying the
balance due on Form 730, line 6, using the
Electronic Federal Tax Payment System
(EFTPS). See Line 6 for more information.
Section references are to the Internal Revenue
Code unless otherwise noted.
Future developments. For the latest
information about developments related to
Form 730 and its instructions, such as
legislation enacted after they were published,
go to www.irs.gov/form730.

General Instructions
Who must file. You must file Form 730 and
pay the tax on wagers under section 4401(a)
if you:
• Are in the business of accepting wagers,
• Conduct a wagering pool or lottery, or
• Are required to be registered and you
received wagers for or on behalf of another
person but did not report that person’s name
and address.
Use Form 11-C, Occupational Tax and
Registration Return for Wagering, to register.
Exempt organizations. Organizations
exempt from income tax under section 501 or
521 are generally not exempt from the tax on
wagering or the occupational tax. However,
see Lottery, later, for an exception.
Completing Form 730. If you are not using
the preaddressed Form 730, enter your
name, address, employer identification
number (EIN), and the month (MM) and year
(YYYY) for which this form is filed.

Specific Instructions
Box 1. If you do not have an EIN, you may
apply for one online. Go to the IRS website at
www.irs.gov/businesses/small and click on the
“Employer ID Numbers (EINs)” link. You may
also apply for an EIN by telephone by calling
1-800-829-4933, or you can fax or mail Form
SS-4, Application for Employer Identification
Number, to the IRS.

• Enclose your check or money order made
payable to “United States Treasury.” Be sure
to enter your name, address, EIN, “Form 730,”
and the tax period on your check or money
order. Do not send cash. Do not staple this
voucher or your payment to Form 730 (or to
each other).
• Detach the completed voucher and send it
with your payment and Form 730. See Where
to file, later.

Box 2. Enter the amount paid from line 6 of
Form 730.
Box 3. Enter the same date you entered on
page 1of Form 730.
Box 4. Enter your name and address as
shown on Form 730.

Rounding. You may round amounts to
whole dollars. If you do round, leave the entry
for the cents amounts blank. You can drop
amounts that are less than 50 cents, and
increase amounts that are 50 cents or more to
the next whole dollar. If you do round, do so
for all amounts. But if you have to add two or
more amounts to figure the amount to enter
on a line, include cents when adding and only
round off the total.
When to file. If you are liable for the tax, file
Form 730 for each month by the last day of
the month following the month for which you
are reporting taxable wagers. The IRS will not
send you a notice that a return is due. File a
return each month whether or not you have
taxable wagers to report. If you have no tax to
report, write “None” in the entry space for line
6 and sign and date Form 730. If you stop
accepting wagers, check the final return box
above line 1.
Where to file. Send your return to:
Department of Treasury
Internal Revenue Service
Cincinnati, OH 45999-0100

Specific Instructions
Name and address. Enter the name shown
on the eligible entity's most recently filed
federal income tax return. Include the suite,

room, or other unit number after the street
address. If the Post Office does not deliver
mail to the street address and the entity has a
P.O. box, show the box number instead of the
street address.
Foreign address. Follow the country's
practice for entering the postal code. In some
countries the postal code may come before
the city or town name. Enter the full name of
the country using uppercase letters in English.
Line 1. Enter the gross amount of wagers
accepted during the month. Gross wagers
are the total of those wagers that are
authorized and those wagers that are not
authorized by the state in which they are
accepted. Include all charges connected with
placing the wager, including any fee or charge
incident to placing the wager. If you can prove
that the person placing the wager has paid a
separate charge equal to the tax, do not
include that amount in the amount of the
wager. Do not include laid-off wagers in this
amount.
What is taxed. The tax applies only to
wagers accepted in the United States or
placed by a person who is in the United
States with a person who is a U.S. citizen or
resident.
Taxable wagers include those placed:
• On a sports event or contest with a person
engaged in the business of accepting wagers
on a sports event or contest;

Page 3

Form 730 (Rev. 12-2013)

• In a wagering pool on a sports event or
contest if the pool is conducted for profit; or
• In a lottery conducted for profit, including
the numbers game, policy, punch boards,
and similar types of wagering.
Sports event. A sports event includes every
type of amateur, scholastic, or professional
sports competition, such as auto racing,
baseball, basketball, billiards, bowling, boxing,
cards, checkers, cricket, croquet, dog racing,
football, golf, gymnastics, hockey, horse
racing, lacrosse, rugby, soccer, squash,
tennis, track, tug of war, and wrestling.
Contest. A contest is any competition
involving speed, skill, endurance, popularity,
politics, strength, or appearance, such as
elections, the outcome of nominating
conventions, dance marathons, log-rolling
contests, wood-chopping contests,
weightlifting contests, beauty contests, and
spelling bees.
Wagering pool. A wagering pool conducted
for profit includes any method or scheme for
giving prizes to one or more winning bettors
based on the outcome of a sports event, a
contest, or a combination or series of these
events or contests if the wagering pool is
managed and conducted for the purpose of
making a profit. A wagering pool or lottery
may be conducted for profit even if a direct
profit does not occur. If you operate the
wagering pool or lottery with the expectation
of a profit in the form of increased sales,
attendance, or other indirect benefits, you
conduct it for profit.
Lottery. This includes the numbers game,
policy, punch boards, and similar types of
wagering. In general, a lottery conducted for
profit includes any method or scheme for the
distribution of prizes among persons who
have paid or promised to pay for a chance to
win the prizes. The winning prizes are usually
determined by the drawing of numbers,
symbols, or tickets from a wheel or other
container, or by the outcome of a given event.
It does not include either of the following
kinds of events.
• Games of a type in which usually the wagers
are placed, winners are determined, and the
prizes are distributed in the presence of
everyone who placed a wager. Card games,
roulette games, dice games, bingo, keno, and
gambling wheels usually fall within this
exception.
• Drawings conducted by a tax-exempt
organization, if the net proceeds of the
drawing do not benefit a private shareholder
or individual.
What is not taxed. The tax is not imposed
on the following five items.
• Parimutuel wagering, including horse racing,
dog racing, and jai alai, when it is licensed
under state law.
• Coin-operated devices, such as slot
machines, pinball machines, or video games.
• Sweepstakes, wagering pools, or lotteries
that are conducted by an agency of a state, if
the wager is placed with the state agency or
its authorized agents or employees.

• Games of the type in which all persons
placing wagers in the game are present when
wagers are placed, winners are determined,
and prizes or other property are distributed.
• Drawings conducted by an organization
exempt from tax under sections 501 and 521,
as long as the net proceeds of the drawing do
not benefit a private shareholder or individual.
Line 2. Enter the gross amount of any laid-off
wagers accepted during the month. Gross
laid-off wagers are the total of those laid-off
wagers that are authorized and those that are
not authorized by the state in which they are
accepted.
Lines 4a and 4b. Enter the applicable amount
included in line 3. Multiply the amount by the
rate shown and enter the result. The rate of
tax depends on whether the wager is
authorized by the laws of the state in which
the wager was accepted. The lower rate
applies to wagers that are authorized by state
law.
Line 5. You may be able to claim a credit for
the amount of any overpayment of tax or for
the amount of tax imposed with respect to a
wager that you laid off. You may also use
Schedule 6 (Form 8849), Other Claims, to
make a claim for refund.
Credit for an overpayment of tax.
Generally, you may claim a credit for any
overpayment of tax. The claim must be filed
within 3 years from the time the Form 730
reporting the tax was filed or 2 years from the
time the tax was paid, whichever is later. No
credit is allowed unless a statement of the
facts involving the overpayment is attached
that includes the following information.
• An explanation of the reason for claiming a
credit.
• The date of payment and the amount of the
tax.
• Whether any previous claim covering the
amount involved, or any part, has been filed.
• A statement that you:
1. Have not collected (whether as a
separate charge or otherwise) the amount of
the tax from the person that placed the wager
on which the tax was imposed, or
2. Have repaid the amount of the tax to the
person that placed the wager, or
3. Have the written consent of the person
that placed the wager to the allowance of the
credit. The consent must be attached to the
return.
Note. If the overpayment relates to a laid-off
wager accepted by you, one of the three
statements in the previous bullet must be
attached for both the person who placed the
laid-off wager with you and the person who
placed the original wager.
Credit for wagers laid off by you. If you
accept a wager and lay off all or a part of that
wager with a person who is liable for tax,
follow the rules below to claim a credit
depending on whether or not you paid the tax.

If you have not paid the tax, you may claim
a credit on Form 730 in the amount of the tax
due for the laid-off wager, if the certificate
described in Regulations section 44.6419-2(d)
is attached to Form 730 for the month during
which the wager was accepted and laid off.
If you have paid the tax, you may claim a
credit for the tax paid on the laid-off amount.
The claim must be filed within 3 years from
the time the return reporting the tax was filed
or 2 years from the time the tax was paid,
whichever is later. Interest will not be allowed
on a credit for the tax imposed on a wager
that you laid off.
No credit is allowed unless the following
information is attached to the return for each
laid-off wager:
• The certificate described in Regulations
section 44.6419-2(d).
• A statement that includes (a) the reason for
the credit, (b) the month in which the tax was
paid, (c) the date of payment, and (d) whether
any previous claim covering all or part of the
amount involved has been filed.
Line 6. If line 4c is more than line 5, enter the
difference on line 6. You do not have to pay if
line 6 is under $1.00. You may pay the
amount shown on line 6 using the Electronic
Federal Tax Payment System (EFTPS) or by
check or money order. If you pay using
EFTPS, do not file Form 730-V, Payment
Voucher.
Electronic payment. Now, more than ever
before, businesses can enjoy the benefits of
paying their federal taxes electronically.
Whether you rely on a tax professional or
handle your own taxes, the IRS offers you a
convenient program to make it easier. Spend
less time on taxes and more time running
your business. Use EFTPS to your benefit.
For information on EFTPS, visit
www.eftps.gov or call EFTPS Customer
Service at 1-800-555-4477.

Paid Preparer Use Only
A paid preparer must sign Form 730 and
provide the information in the Paid Preparer
Use Only section at the end of the form if the
preparer was paid to prepare the form and is
not an employee of the filing entity. The
preparer must give you a copy of the form in
addition to the copy to be filed with the IRS.
If you are a paid preparer, enter your
Preparer Tax Identification Number (PTIN) in
the space provided. If you work for a tax
preparation firm, you must also enter the
firm's name, address, and EIN. However, you
cannot use the PTIN of the tax preparation
firm in place of your PTIN.
You can apply for a PTIN online or by filing
Form W-12, IRS Paid Preparer Tax
Identification Number (PTIN) Application and
Renewal. For more information about applying
for a PTIN online, visit the IRS website at
www.irs.gov/taxpros.

Page 4

Form 730 (Rev. 12-2013)

Recordkeeping. Keep copies of your tax
returns, records, and accounts of all
transactions to show that the correct
tax has been paid. Keep records to support all
adjustments claimed and all exemptions at
least 4 years from the latest of the following
dates: when the tax became due, when
you paid the tax, when you claimed an
adjustment, or when you filed a claim for
refund. Always keep your records available for
IRS inspection.
Penalties. Avoid penalties and interest by
filing returns and paying taxes when due. The
law provides penalties for filing a return late,
paying taxes late, failing to file a return,
negligence, and fraud. These penalties are in
addition to the interest charge on late
payments. The penalty for filing a return late or
paying the tax late will not be imposed if you
can show that the failure to file a timely return
or timely pay the tax is due to reasonable
cause.
If you receive a notice about a penalty after
you file this return, reply to the notice with an
explanation and we will determine if you meet
reasonable-cause criteria. Do not attach an
explanation when you file your return.
Unresolved tax problems. The Taxpayer
Advocate’s office may assign a personal
advocate to taxpayers who have been unable
to resolve their problems with the IRS. You
can write to the Taxpayer Advocate at the IRS
office that last contacted you or call a toll-free
assistance number, 1-877-777-4778. Persons
who are deaf, hard of hearing, or have a
speech disability and have access to TTY/
TDD equipment may call 1-800-829-4059 to
ask for help from the Taxpayer Advocate.
This office cannot change the law or technical
decisions, but it can help clear up problems
that resulted from previous contacts.

Disclosure of information on wagering
taxes. Except for administering or enforcing
Internal Revenue taxes, neither the Treasury
Department nor any of its employees may
disclose documents, records, or information
obtained through them that a taxpayer
supplies in connection with wagering taxes.
Also, certain documents related to wagering
taxes and information obtained through them
that relates to wagering taxes may not be
used against the taxpayer in any nontax
criminal proceeding. See section 4424 for
more details.
Paperwork Reduction Act Notice. We ask
for the information on Form 730 to carry out
the Internal Revenue laws of the United
States. You are required to give us the
information. We need it to ensure that you are
complying with these laws and to allow us to
figure and collect the right amount of tax.
Section 4401 imposes a tax on wagering.
Form 730 is used to determine the amount of
the tax. Routine uses of this information
include giving it to the Department of Justice
for civil and criminal litigation, and to cities,
states, and the District of Columbia, and U.S.
commonwealths and possessions for use in
administering their tax laws. We may also
disclose this information to other countries
under a tax treaty, to federal and state
agencies to enforce federal nontax criminal
laws, or to federal law enforcement and
intelligence agencies to combat terrorism. If
you fail to provide this information in a timely
manner or provide false information, you may
be liable for penalties and interest.

You are not required to provide the
information requested on a form that is
subject to the Paperwork Reduction Act
unless the form displays a valid OMB control
number. Books or records relating to a form or
its instructions must be retained as long as
their contents may become material in the
administration of any Internal Revenue law.
Generally, tax returns and return information
are confidential, as required by section 6103.
The time needed to complete and file Form
730 will vary depending on individual
circumstances. The estimated average times
are: Recordkeeping, 6 hr., 27 min.; Learning
about the law or the form, 47 min.;
Preparing, copying, assembling, and
sending the form to the IRS, 56 min.
If you have comments concerning the
accuracy of these time estimates or
suggestions for making Form 730 simpler, we
would be happy to hear from you. You can
send your comments to:
Internal Revenue Service
Tax Forms and Publications
SE:W:CAR:MP:TFP
1111 Constitution Ave. NW, IR-6526
Washington, DC 20224
Do not send Form 730 to this address.
Instead, see Where to file above.