Q: What amount of my gambling winnings/losses will be taxed?Ī: Regardless of whether you win $1 or $1,000, all gambling winnings are considered taxable income. This article discusses common questions regarding how Kansas currently intends to tax sports betting profits and federal tax implications. However, since this is a relatively new income source in Kansas, residents in Kansas may have questions. Online sports betting has been federally legal for several years, so the taxation rules for this income are well established. With this new form of potential income, many Kansas residents are curious about how sports betting winnings or losses will be taxed federally and by the state. These online platforms include DraftKings, FanDuel, Barstool Sportsbook, BetMGM, PointsBet and Caesar’s Sportsbook. 1, 2022, online sports betting officially began on six different online platforms in Kansas. On May 12, 2022, Governor Laura Kelly signed Senate Bill 84.