Mattyv I wonder if that is his NET gambling number or just the losses. He very well could have $50M in winnings to offset. Maybe the $40M is what was reported to the IRS.
The way it's written it's net losses. You can't write off losses if you have wins that outpace that. At least not legally. The IRS will make you pay taxes on any big wins even if you end up a loser at the end of the year if you can't itemize. Bastards