# 2026-07519: IRS Eases Payment Reporting and Gambling Loss Limits

2026-07519, Increase in Threshold for Requiring Information Reporting With Respect to Certain Payees; Extension and Modification of Limitation on Wagering Losses, is a Federal Register proposed rule from Treasury Department, Internal Revenue Service published 2026-04-17, effective 2026-01-01; PRIA reads it as touching household money (as of 2026-06-11).

- Canonical: https://policyrisk.com/federal-register/2026-07519
- As of: 2026-06-11
- Plain-text twin of the page above; the HTML and this file carry the same facts.

## Facts
- Document number: 2026-07519
- Title: Increase in Threshold for Requiring Information Reporting With Respect to Certain Payees; Extension and Modification of Limitation on Wagering Losses
- Type: Proposed Rule
- Agencies: Treasury Department; Internal Revenue Service
- Citation: 91 FR 20599
- Published: 2026-04-17
- Effective: 2026-01-01
- Comments close: not stated
- Significant: no
- Touches household money: yes
- Regulation identifier numbers: 1545-BR73
- Last updated: 2026-06-11

## In one line

IRS Eases Payment Reporting and Gambling Loss Limits

## Summary

The IRS wants to raise the dollar amount that triggers reporting payments to certain payees, making it easier for businesses to handle paperwork. They’re also tweaking rules about how much you can claim for gambling losses. These changes affect businesses and gamblers and could save time and hassle starting after the rules are finalized, with comments due by June 16, 2026.

## Abstract

This document contains proposed amendments relating to the dollar thresholds in regulations governing information reporting for payments made in the course of a trade or business and the corresponding backup withholding regulations. This document also contains proposed amendments to the regulations governing wagering losses. The proposed regulations reflect recent changes to the statutory law. These changes will affect persons who make payments in the course of their trade or business and those persons claiming a deduction for wagering losses.

## Effects PRIA read

- Reporting Threshold Raised to $2,000: benefit, high. If you make payments in a trade or business, you generally do not have to file information returns for a payee unless your payments to that payee in a calendar year equal or exceed $2,000. That $2,000 base threshold applies for calendar year 2026 (payments made on or after January 1, 2026) and will…
- Gambling Winnings Reporting Raised: benefit, medium. Winnings from bingo, keno, and slot machine play must be reported only if the winnings meet or exceed $2,000 for calendar year 2026. The $2,000 threshold for 2026 applies to those payments made on or after January 1, 2026, and is indexed for inflation in later years.
- Wagering Loss Deduction Reduced to 90%: cost, medium. If you claim an itemized deduction for wagering losses, the deduction is limited to 90 percent of your wagering losses for the taxable year and only to the extent of your wagering gains. This rule applies to taxable years beginning after December 31, 2025.
- Backup Withholding Tied to $2,000 Threshold: benefit, medium. Backup withholding for reportable payments under sections 6041 and 6041A is generally required only when a payee's aggregate payments in a calendar year exceed the dollar threshold in effect under section 6041. For calendar year 2026, that threshold is $2,000 for payments made on or after January 1…
- Estimated $982M Filing Burden Savings: benefit, high. The IRS estimates that raising the reporting threshold will reduce filing burdens and save about $982 million in 2024 dollars for calendar year 2027 (returns for tax year 2026). This estimate reflects fewer Forms 1099-MISC, 1099-NEC, W-2, W-2G, and 945 filings.

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- [2026-17622](https://policyrisk.com/federal-register/2026-17622): Federal Independent Dispute Resolution Operations; Correction, 2026-08-28

## Sources
- [2026-07519 on federalregister.gov](https://www.federalregister.gov/documents/2026/04/17/2026-07519/increase-in-threshold-for-requiring-information-reporting-with-respect-to-certain-payees-extension)
- [2026-07519 as published (PDF)](https://www.govinfo.gov/content/pkg/FR-2026-04-17/pdf/2026-07519.pdf)

## Related
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- [All Federal Register documents](https://policyrisk.com/federal-register)

Source: PRIA, https://policyrisk.com/federal-register/2026-07519 (as of 2026-06-11).