Arkansas gambling winnings are fully taxable and should be reported on the Arkansas tax return unless they are specifically from electronic games of skill.
Winnings from electronic games of skill are assessed a 3% flat tax. The winnings and tax are not included on the individual Arkansas tax return as income or withholding.
Gambling winnings entered in the federal return are not automatically pulled into the Arkansas return. To indicate the portion of gambling winnings taxable to Arkansas in TaxSlayer ProWeb, from the Arkansas Return menu select:
- Income Subject to Tax
- Other Income
- Gambling winnings (not electronic games of skill) - Enter the amount of gambling winnings reported on the federal return other than electronic games of skill. Space is provided to enter the taxpayer or joint winnings and/or spouse winnings, as appropriate.
Additional Information: