So today is the 1st day in 2016. 2015 was my 2nd year playing, my first full year playing and my first profitable year playing fantasy sports.
While profit is wonderful, with profit comes the responsibility of taxes.
If you work a job and you are good at fantasy sports, one thing I recommend is changing your W4 withholdings and reducing them. I don’t have a lot of deductions so I reduced my withholdings to 0.
You will get less money in your paycheck. However, you also will pay less or get a bigger refund come April 15th. And although the IRS will allow you to do a payment plan if necessary, they charge you interest and fees DAILY for this privilege, so it’s something you definitely want to avoid if possible.
Also don’t forget if you end up owing more than $1000 in taxes you are responsible for making quarterly tax payments of your fantasy sports winnings. Waiting until the end of the year to pay will result in an additional penalty.
Hope that helps and heres to a prosperous new year!