Legality of InTrade

[StPatrick]

I was toying with the idea of buying a Scott Brown win on InTrade - shares were at 18 when he was neck and neck in the polls. Brown shares are now at 71, so the return would have been fantastic. I declined to make the trade after looking at the site, because of the ambiguity involved. For our legal types here:

Is InTrade gambling, or a futures market? With TN's strict wagering laws, even if it complied with federal laws, would a user be subject to action by the state when they repatriated profits? The closest analog I can think of is online poker, but that only applies if InTrade qualifies as gambling.

Money is kept in an account in Ireland until a check is sent to you, or a transfer through NetTeller is initiated. I've heard that those activities attract the interest of the IRS.

Thanks for your advice.

[Guest 6.8 AR]

Never heard of it. That's cool. Sounds like some kind of commodities/futures. All they can do is tax your gain.

[tntnixon]

It's illegal, that is why it is off shore. It doesn't matter what you call it, gambling is gambling and is prohibited by state and federal laws.

[Krull]

It's illegal, that is why it is off shore. It doesn't matter what you call it, gambling is gambling and is prohibited by state and federal laws.

Agreed. I have a buddy that uses off shore gambling and has for years. Totally against the law. He says it's only against the law if you get caught. I say the haven't got around to you yet. Could bring some tax issues, civil and criminal issues on down the road though. I don't think the gain is worth having this weighing on your mind.

[Guest jackdm3]

If you're planning on living out of country soon, I say F'em all, big time. Hope you find a better country. Book gains and git!

[StPatrick]

If you're planning on living out of country soon, I say F'em all, big time. Hope you find a better country. Book gains and git!

At most, I would have made $900. Nice, but not that nice, so I'll be staying. I have yet to visit another country that doesn't make me want to be back home within 5 days, so I guess it's a tradeoff.

Unfair gambling rules > Anywhere else