Maine gambling winnings tax calculator
Maine taxes gambling winnings as ordinary income at graduated rates from 5.8% to 9.15%.
Updated · 2026 tax rules · How we calculate
You keep
$7,775
Cash at payout
$6,885
Total tax
$2,225
Over-withheld
$890
- Form W-2G
- Yes
- Federal withholding at payout
- $2,400
- Federal tax on the winnings
- $1,550
- State tax
- $675
- Maine withholding at payout
- $715
- Over-withheld
- $890
- You keep
- $7,775
$10,000 is at or above the $2,000 reporting threshold, so the payer files a W-2G with the IRS and gives you a copy.
The payer holds back 24% of winnings over $5,000 and sends it to the IRS. It's a prepayment, not the final tax.
Winnings are ordinary income stacked on your other $60,000. Your top dollar lands in the 22% bracket.
Maine taxes gambling winnings as ordinary income.
Maine requires the payer to hold back 7.15% for state tax.
More was withheld than these winnings add to your tax. The difference reduces what you owe on the rest of your return, or comes back as a refund.
$10,000 minus $2,225 in federal and state tax: an effective rate of 22.3%.
An estimate for 2026, not tax advice. It treats this win as your only gambling income for the year and leaves out local income taxes. Nothing you enter leaves your browser.
How Maine taxes gambling winnings
- State income tax
- Maine taxes gambling winnings as ordinary income at graduated rates from 5.8% to 9.15%.[1]
- Gambling losses
- You can deduct gambling losses only as part of Maine itemized deductions, which start from federal itemized deductions and are capped and phased out at higher incomes.[2]Unverified
- Withholding
- Payers withhold Maine tax at the top rate, 7.15%, from winnings subject to federal withholding. The Maine Lottery withholds 7.15% from prizes over $5,000.[3]
- Nonresidents
- Nonresidents owe Maine tax on winnings from gambling in Maine and from lottery tickets bought in Maine, including Tri-State Lotto tickets.[4]
- Tax paid to other states
- Residents can claim a credit for income tax paid to another state or its localities, limited to the share of Maine tax on that income.[5]
- Legal gambling
- Sports betting: legal online and in person. State lottery: yes. Casinos: yes. Online casino: legal.[6]
Also worth knowing
- Tri-State Lotto (Maine, New Hampshire, Vermont) winnings are Maine income for a nonresident only if the winning ticket was bought in Maine.[4]
- Since August 8, 2022, Maine withholds on gambling winnings at its top income tax rate (7.15%), replacing the old 5% flat rate.[3]
- Maine caps itemized deductions other than medical expenses, so large gambling losses may be only partly deductible on the Maine return even when fully deductible federally.[2]
Examples by game
For a single filer with $60,000 of other income and no gambling losses, living and winning in Maine.
| Game | Won | Withheld | Federal tax | State tax | You keep |
|---|---|---|---|---|---|
| Sports betting | $10,000 | $3,115 | $1,550 | $675 | $7,775 |
| Casino and slots | $5,000 | $0 | $600 | $338 | $4,063 |
| Table games | $5,000 | $0 | $600 | $338 | $4,063 |
| Poker tournaments | $20,000 | $0 | $3,750 | $1,350 | $14,900 |
| Lottery | $50,000 | $15,575 | $10,350 | $3,472 | $36,178 |
| Daily fantasy sports | $5,000 | $0 | $600 | $338 | $4,063 |
| Horse racing | $8,000 | $2,492 | $1,110 | $540 | $6,350 |
Questions
- Does Maine tax gambling winnings?
- Yes, at graduated rates from 5.8% to 9.15%.[1]
- Can you deduct gambling losses in Maine?
- You can deduct gambling losses only as part of Maine itemized deductions, which start from federal itemized deductions and are capped and phased out at higher incomes.[2]Unverified
- Does Maine withhold tax from gambling winnings?
- Payers withhold Maine tax at the top rate, 7.15%, from winnings subject to federal withholding. The Maine Lottery withholds 7.15% from prizes over $5,000.[3]
- Do nonresidents pay Maine tax on gambling winnings?
- Nonresidents owe Maine tax on winnings from gambling in Maine and from lottery tickets bought in Maine, including Tri-State Lotto tickets.[4]
Maine by game
Sources
- [1] Maine Revenue Services, 2026 Individual Income Tax Rate Schedules (revised May 2026) · checked September 22, 2026
- [2] 36 M.R.S. 5125 Itemized deductions · checked September 22, 2026
- [3] Maine Tax Alert July 2022: Law Change - Maine Income Tax Withholding on Gambling Winnings · checked September 22, 2026
- [4] MRS Rule 806 (nonresident income sourcing), August 2024 · checked September 22, 2026
- [5] 36 M.R.S. 5217-A Credit for income tax paid to other taxing jurisdictions · checked September 22, 2026
- [6] Maine Gambling Control Unit: Sports Wagering · checked September 22, 2026