Casino and slots winnings tax in Rhode Island
Rhode Island taxes slot machine winnings as ordinary income at graduated rates from 3.75% to 5.99%.
Updated · 2026 tax rules · How we calculate
You keep
$4,213
Cash at payout
$5,000
Total tax
$788
Due when you file
$788
- Form W-2G
- Yes
- Federal withholding at payout
- $0
- Federal tax on the winnings
- $600
- State tax
- $188
- Still to pay when you file
- $788
- You keep
- $4,213
$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.
Rhode Island taxes gambling winnings as ordinary income.
Tax owed ($788) 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 $788 in federal and state tax: an effective rate of 15.8%.
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
- Rhode Island tax
- Rhode Island taxes slot machine winnings as ordinary income at graduated rates from 3.75% to 5.99%.[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]
- Rhode Island withholding
- No Rhode Island withholding requirement for slot machine winnings. Tax is due when you file.[5]Unverified
- Gambling losses
- No. Rhode Island does not allow federal itemized deductions, so you can't deduct gambling losses unless you gamble professionally.[6]
- Visitors
- Rhode Island taxes nonresidents on slot machine winnings won there, so visitors may need to file a nonresident return.[7]
- Where to play
- Rhode Island has casinos, and online casino gaming is legal.[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 Rhode Island.
| Won | W-2G | Withheld | Federal tax | State tax | You keep |
|---|---|---|---|---|---|
| $1,500 | No | $0 | $180 | $56 | $1,264 |
| $2,000 | Yes | $0 | $240 | $75 | $1,685 |
| $5,000 | Yes | $0 | $600 | $188 | $4,213 |
| $10,000 | Yes | $0 | $1,550 | $375 | $8,075 |
| $100,000 | Yes | $0 | $22,114 | $4,365 | $73,521 |
Questions
- How much is Rhode Island tax on slot machine winnings?
- Rhode Island taxes slot machine winnings as ordinary income at graduated rates from 3.75% to 5.99%.[1]
- Does Rhode Island withhold tax from slot machine winnings?
- Rhode Island has no withholding requirement for slot machine winnings. Tax is due when you file.[5]Unverified
- Do visitors pay Rhode Island tax on slot machine winnings?
- Rhode Island taxes nonresidents on slot machine winnings won there, so visitors may need to file a nonresident return.[7]
More for Rhode Island
All of Rhode Island'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] 280-RICR-20-55-8, Lottery and Pari-Mutuel Winnings and Prizes · checked September 22, 2026
- [6] 2025 RI-1040 Instructions (RI Division of Taxation) · checked September 22, 2026
- [7] 2025 RI-1040NR Instructions (RI Division of Taxation) · checked September 22, 2026
- [8] American Gaming Association, Rhode Island Gaming Regulatory Fact Sheet (2025) · checked September 22, 2026