Erik Seidel Cuts Back on Poker Tournaments Due to New Tax Law

Poker pro Erik Seidel, a 10-time World Series of Poker bracelet winner, has significantly reduced his tournament schedule due to new tax provisions. The 66-year-old poker legend told CNBC that the impact of the new law is unsustainable for a professional poker player. The tax provision in the law, which went into effect in January, allows gamblers to deduct only 90% of losses, creating potential 'phantom income' where taxes are paid despite a losing year.

Seidel has cut his tournament volume to about a quarter of what it was previously, playing around 25-37 tournaments in 2026 compared to 100-150 tournaments annually. Additionally, the Poker Hall of Famer has mostly eliminated high-roller events with a buy-in of $25,000 or more from his schedule.

Russ Fox with Clayton Financial and Tax told CNBC the 10% disparity in the new law makes it difficult for many gamblers like Seidel to justify playing professionally. One study found that annual sports betting handle could be reduced by $18 billion annually as a result of the tax provision. President Trump visited Las Vegas to promote his 'no tax on tips' pledge but did not address the gambling tax issue.