Daily fantasy sports winnings tax in Mississippi
Mississippi taxes daily fantasy winnings as ordinary income at graduated rates from 0% to 4%.
Updated · 2026 tax rules · How we calculate
You keep
$4,200
Cash at payout
$5,000
Total tax
$800
Due when you file
$800
- Form 1099-MISC
- Yes
- Federal withholding at payout
- $0
- Federal tax on the winnings
- $600
- State tax
- $200
- Still to pay when you file
- $800
- You keep
- $4,200
Daily fantasy sites report net winnings of $2,000 or more for the year on a 1099-MISC.
Daily fantasy sports winnings aren't subject to regular federal withholding, whatever the amount. Tax is still owed when you file. If you don't give the payer your Social Security number, 24% backup withholding applies.
Winnings are ordinary income stacked on your other $60,000. Your top dollar lands in the 12% bracket.
Mississippi taxes gambling winnings as ordinary income.
Tax owed ($800) minus what was withheld ($0). Set this aside. A large balance can also mean an underpayment penalty unless you make an estimated payment.
$5,000 minus $800 in federal and state tax: an effective rate of 16%.
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.
The rules
- Mississippi tax
- Mississippi taxes daily fantasy winnings as ordinary income at graduated rates from 0% to 4%.[1]
- Federal tax form
- Daily fantasy sites generally report net winnings of $2,000 or more for the year on Form 1099-MISC, not a W-2G. The 1099-MISC threshold was $600 before 2026.[2]Unverified
- Federal withholding
- Fantasy sites don't withhold federal tax from winnings in practice.[2]Unverified
- Mississippi withholding
- No Mississippi withholding requirement for daily fantasy winnings. Tax is due when you file.[3]Unverified
- Gambling losses
- Losses at Mississippi casinos can't be deducted, because those winnings are left out of income. Other gambling losses are deductible only if you itemize, starting from federal Schedule A.[4]Unverified
- Visitors
- Mississippi taxes nonresidents on daily fantasy winnings won there, so visitors may need to file a nonresident return.[4]
What you keep at different amounts
For a single filer with $60,000 of other income and no gambling losses, living and winning in Mississippi.
| Won | 1099-MISC | Withheld | Federal tax | State tax | You keep |
|---|---|---|---|---|---|
| $1,500 | No | $0 | $180 | $60 | $1,260 |
| $2,000 | Yes | $0 | $240 | $80 | $1,680 |
| $5,000 | Yes | $0 | $600 | $200 | $4,200 |
| $10,000 | Yes | $0 | $1,550 | $400 | $8,050 |
| $100,000 | Yes | $0 | $22,114 | $4,000 | $73,886 |
Questions
- How much is Mississippi tax on daily fantasy winnings?
- Mississippi taxes daily fantasy winnings as ordinary income at graduated rates from 0% to 4%.[1]
- Does Mississippi withhold tax from daily fantasy winnings?
- Mississippi has no withholding requirement for daily fantasy winnings. Tax is due when you file.[3]Unverified
- Do visitors pay Mississippi tax on daily fantasy winnings?
- Mississippi taxes nonresidents on daily fantasy winnings won there, so visitors may need to file a nonresident return.[4]
More for Mississippi
All of Mississippi's gambling tax rules · Daily fantasy sports in every state
Sources
- [1] Tax Foundation, State Individual Income Tax Rates and Brackets, 2026 · checked September 22, 2026
- [2] IRS, Instructions for Forms 1099-MISC and 1099-NEC (2026) · checked September 22, 2026
- [3] MS DOR Notice 80-25-002, Withholding on Mississippi Gaming Winnings (Dec 22, 2025) · checked September 22, 2026
- [4] MS DOR 2025 Form 80-100 Resident, Non-Resident and Part-Year Resident Income Tax Instructions · checked September 22, 2026