Michigan gambling tax calculator

Michigan allows gambling losses only if you itemize on your federal return. Take the standard deduction and it taxes your gross winnings. Only 90 percent of your losses count from 2026, so a losing year can still leave part of your winnings taxed.

Your numbers

State of residence

Total gambling winnings

For each winning bet, what it paid out less what you staked. Add these up for the year, before taking off any losses.

Total gambling losses

What you staked on your losing bets for the year. More than your winnings is normal.

Get a more accurate numberFiling status, other income, deductions and withholding

Filing status

SingleMarried filing jointlyMarried filing separatelyHead of household

Other taxable income

Wages and everything else, before deductions. Leave out Social Security.

Other itemized deductions

Mortgage interest, charitable gifts, and state and local tax up to its federal cap. Enter these even if you usually take the standard deduction. Your losses may make itemizing worth it, and the calculator compares the two for you.

Federal tax already withheld

State tax already withheld

Social Security benefits (optional)

The year’s total from Form SSA-1099, box 5, for both spouses on a joint return. A win can make more of it taxable. Leave blank if you have none.

Your age (optional)

Not givenUnder 6565 or older

At the end of 2026. Federal and some state deductions are larger at 65 or older.

Compare reporting methodsEvery wager, or netted by session

These three numbers require going through every bet of the year by hand and grouping them into days. We are building a paid tool to do this for you.

Days you placed a bet

Total of your winning days

Add up the net gain on every day that finished up.

Total of your losing days

Add up the net loss on every day that finished down, as a positive number.

The calculation runs on your device, so nothing is sent to work out your number. If you accepted cookies, what you enter is also sent to our analytics.

Your estimate

Enter your state, winnings, and losses to see an estimate.

Checked against Michigan’s own sources on 2026-10-05.

How Michigan treats gambling losses

Michigan allows the deduction only to filers who itemize on the federal return. Take the federal standard deduction and the offset disappears, so gross winnings are taxed even in a year you finished down.

The two examples below are the same numbers the calculator uses, worked at Michigan rates.

Two examples, worked at 2026 Michigan rates

A single filer with $60,000 of other income who takes the standard deduction on everything except gambling losses.

A losing year

You win $50,000 and lose $52,000, so you finish down $2,000.

Federal: $3,596
Michigan: $136
Total: $3,732

You finished the year down and still owe tax.

Federally you itemize, so your losses offset your winnings, but the 2026 rule caps that deduction at 90 percent and leaves $3,200 taxable. Michigan allows the loss deduction only to filers who itemize federally, which you do, so $3,200 is taxed at 4.25 percent, which comes to $136.

A winning year

You win $50,000 and lose $10,000, so you finish up $40,000.

Federal: $10,350
Michigan: $2,125
Total: $12,475

Federally you take the $16,100 standard deduction, which is worth more than itemizing, so your gambling losses do not reduce your federal tax at all. Michigan allows the loss deduction only to filers who itemize federally. You do not, so the full $50,000 is taxed at 4.25 percent, which comes to $2,125.

Full Michigan rules, rates and sources