The Taxman Takes $9million from Main Event Final Table

(Courtesy of WSOP/Rachel Kay Winter) “In this world nothing can be said to be certain, except death and taxes,” said Benjamin Franklin (allegedly!) and for Michael Mizrachi, the 100,000 $100 bills bearing Franklin’s image he won this week won’t all be his to keep.

Every year, Russ Fox of Clayton Financial and Tax of Las Vegas, gives us the breakdown of just how much the winner and his fellow final tablists have to give up to the taxman. For most, it’s an eye-watering sum, with Mizrachi not surprisingly handing over the most of all.

The Taxman’s Cut

That means 32.38% of the winnings at the final table goes toward taxes and here’s the blow-by-blow breakdown of who will pay what:

Michael Mizrachi

Winnings: $10,000,000

Tax Bill: $3,967,255

Take Home: $6,032,745

(Courtesy of WSOP/PokerGO) Mizrachi has been luckier than many Main Event champs, his Florida residence status meaning he doesn’t have state income tax to worry about.

He is, however, subject to both US income tax and self-employment tax, which Fox estimates will tear a $3,967,255 chunk from his $10million prize, leaving him with (still hugely impressive) $6,032,745.

John Wasnock

Winnings: $6,000,000

Tax Bill: $2,209,894

Take Home: $3,790,106

(Courtesy of WSOP/Alicia Skillman)) Wasnock won’t have to worry about what to do with his huge second-place prizemoney, the Washington state man an investment consultant when he’s not playing poker.

Like Mizrachi, there will be no state income tax, but he also won’t have self-employment tax to pay on his winnings. The taxman will still take a hefty $2,209,894 leaving John $3,790,106 to invest or play with as he sees fit.

Braxton Dunaway

Winnings: $4,000,000

Tax Bill: $1,475,473

Take Home: $2,524,527

(Courtesy of WSOP/Jazmyn Le) As another amateur, though a very good one, Dunaway avoids self-employment tax, and as a Texan he also avoids state income tax. That leaves a $1,475,473 US income tax bill and a take home pay of $2,524,527.

Kenny Hallaert

Winnings: $3,000,000

Tax Bill: $0

Take Home: $3,000,000

(Courtesy of WSOP/Alicia Skillman) As a Belgian now living in the UK, Hallaert gets to keep every red cent of his $3million winnings for 4th place.

That’s thanks to a double-whammy of a US-UK tax treaty which keeps the IRS at bay, and the fact that the UK doesn’t tax gambling winnings so HMRC on this side of the pond don’t see a penny either.

Luka Bojovic

Winnings: $2,400,000

Tax Bill: $0

Take Home: $2,400,000

(Courtesy of WSOP/Jazmyn Le) Bojovic is another who played excellently on the biggest stage in Vegas, and the Serbian poker pro gets to keep all of his $2.4million winnings. That’s due to his Austrian residency, a country that also enjoys a tax treaty with the US and, like the UK, doesn’t tax gambling income. (That’s partly why it’s such a popular spot for Europeans to ply their online poker trade).

Adam Hendrix

Winnings: $1,900,000

Tax Bill: $698,000

Take Home: $1,202,000

(Courtesy of WSOP/Jazmyn Le) As a Vegas pro, Adam Hendrix has to balance access to the biggest games and tournaments with paying self-employment tax. However, like our other US players who ran so deep, Nevada has no state income tax meaning Hendrix’s tax bill will be capped at 37%, so roughly $698,000.

Leo Margets

Winnings: $1,500,000

Tax Bill: $705,000

Take Home: $795,000

(Courtesy of WSOP/Rachel Kay Winter) Spanish pro Leo Margets became the first female of the modern era to make the final table on the biggest stage of all. Her brutal exit saw her finish 7th but the worst news is that Spain has terribly stringent tax laws.

As Fox points out, fully 47% of her winnings — $705,000 — will end up in the taxman’s pocket, one of the biggest hits of all %-wise.

Jarod Minghini

Winnings: $1,250,000

Tax Bill: $481,553

Take Home: $768,447

(Courtesy of WSOP/Jazmyn Le) Like Hendrix, Minghini is a Nevada-based pro, although Lake Tahoe rather than Las Vegas. Self-employment and income tax combined will take an estimated 38.52% of his winnings —$481,553— leaving him $768,447.

Daehyung Lee

Winnings: $1,000,000

Tax Bill: $517,212

Take Home: $482,788

(Courtesy of WSOP/Eloy Cabacas) Lee, the first South Korean to make the WSOP Main Event final table, busted on the very first hand but picked up a cool $1million for his excellent run.

However, as Fox explains, “$300,000 of his winnings will be withheld by the IRS”. In addition, he states: “South Korea has marginal tax rates from 6% to 45%, plus residents must pay a 10% local tax (a surtax).”

All-in-all, Lee will tale the biggest hit of all nine final tablists, more than half his winnings, although as Fox says, he “should be able to claim a foreign tax credit on his US withholding of $300,000”.

Below is the tax hit seen in one easy table:

The Final Table