Casino and slots winnings tax in Oregon
Oregon taxes slot machine winnings as ordinary income at graduated rates from 4.75% to 9.9%.
Updated · 2026 tax rules · How we calculate
You keep
$3,963
Cash at payout
$5,000
Total tax
$1,038
Due when you file
$1,038
- Form W-2G
- Yes
- Federal withholding at payout
- $0
- Federal tax on the winnings
- $600
- State tax
- $438
- Still to pay when you file
- $1,038
- You keep
- $3,963
$5,000 is at or above the $2,000 reporting threshold, so the payer files a W-2G with the IRS and gives you a copy.
Casino and slots 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.
Oregon taxes gambling winnings as ordinary income.
Tax owed ($1,038) 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 $1,038 in federal and state tax: an effective rate of 20.8%.
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
- Oregon tax
- Oregon taxes slot machine winnings as ordinary income at graduated rates from 4.75% to 9.9%.[1]
- Federal tax form
- Slot machine and bingo winnings of $2,000 or more are reported on a W-2G, without subtracting the wager. The threshold was $1,200 before 2026. Keno is also $2,000, after subtracting the wager on the winning game.[2]
- Federal withholding
- Slot machine, keno and bingo winnings are exempt from regular gambling withholding by statute, whatever the amount.[4]
- Oregon withholding
- No Oregon withholding requirement for slot machine winnings. Tax is due when you file.[5]
- Gambling losses
- You can deduct losses only as an itemized deduction on Schedule OR-A, and only up to the gambling winnings Oregon actually taxes.[6]Unverified
- Visitors
- Oregon does not tax nonresidents on slot machine winnings. Visitors owe tax to their home state instead.[7]Unverified
- Where to play
- Oregon has casinos.[8]
What you keep at different amounts
For a single filer with $60,000 of other income and no gambling losses, living and winning in Oregon.
| Won | W-2G | Withheld | Federal tax | State tax | You keep |
|---|---|---|---|---|---|
| $1,500 | No | $0 | $180 | $131 | $1,189 |
| $2,000 | Yes | $0 | $240 | $175 | $1,585 |
| $5,000 | Yes | $0 | $600 | $438 | $3,963 |
| $10,000 | Yes | $0 | $1,550 | $875 | $7,575 |
| $100,000 | Yes | $0 | $22,114 | $9,119 | $68,767 |
Questions
- How much is Oregon tax on slot machine winnings?
- Oregon taxes slot machine winnings as ordinary income at graduated rates from 4.75% to 9.9%.[1]
- Does Oregon withhold tax from slot machine winnings?
- Oregon has no withholding requirement for slot machine winnings. Tax is due when you file.[5]
- Do visitors pay Oregon tax on slot machine winnings?
- Oregon does not tax nonresidents on slot machine winnings. Visitors owe tax to their home state instead.[7]Unverified
More for Oregon
All of Oregon's gambling tax rules · Casino and slots in every state
Sources
- [1] Tax Foundation, State Individual Income Tax Rates and Brackets, 2026 · checked September 22, 2026
- [2] IRS, Instructions for Forms W-2G and 5754 (01/2026) · checked September 22, 2026
- [3] Federal Register, REG-113229-25 proposed rule (Apr. 17, 2026) · checked September 22, 2026
- [4] 26 U.S. Code § 3402 (withholding) · checked September 22, 2026
- [5] ORS 316.194, Withholding from lottery prize payments · checked September 22, 2026
- [6] Oregon Publication OR-17 (2025) · checked September 22, 2026
- [7] ORS 316.127, Income of nonresident from Oregon sources · checked September 22, 2026
- [8] American Gaming Association, Oregon Gaming Regulatory Fact Sheet (2025) · checked September 22, 2026