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Some gamblers are buying losing lottery tickets on eBay as a way to offset taxes on their gambling wins

  • eBay is listing stacks of worthless scratch-offs as "collectibles" or even "tax write-offs" — some sellers offer, for example, $90,000 worth of losing Florida tickets for about $575.
  • Tax experts warn this could be used to fabricate proof of gambling losses (which the IRS only allows with detailed records and is capped by reported winnings), and audits already show lots of unreported gambling income.
  • New tax rules (effective 2026) limit deductible gambling losses to 90% of winnings, and gambling—including booming prediction markets—remains a huge, fast‑growing source of taxable activity.
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