11. Tables for Withholding on Distributions of Indian Gaming Profits to Tribal Members If you make certain payments to members of Indian tribes fromgaming profits, you must withhold Federal income tax. You mustwithhold if (1) the total payment to a member for the year is over$7,200 and (2) the payment is from the net revenues of class II orclass III gaming activities (classified by the Indian GamingRegulatory Act) conducted or licensed by the tribes. A class I gaming activity is not subject to this withholdingrequirement. alberghi a CalaisClass I activities are social games solely forprizes of minimal value or traditional forms of Indian gaming engagedin as part of tribal ceremonies or celebrations. Class II.Class II includes (1) bingo and similar games, such as pull tabs,punch boards, tip jars, lotto, and instant bingo, and (2) card gamesthat are authorized by the state or that are not explicitly prohibitedby the state and played at a location within the state. Class III.A class III gaming activity is any gaming that is not class I orclass II. Class III includes horse racing, dog racing, jai alai,casino gaming, and slot machines. Withholding Tables Newcastle accommodationTo figure the amount of tax to withhold each time you make apayment, use the table on page 59 for the period for which you makepayments. For example, if you make payments weekly, use table 1; ifyou make payments monthly, use table 4. If the total payments to anindividual for the year are $7,200 or less, no withholding isrequired. Example:A tribal member is paid monthly. The monthly payment is $5,000.Using Table 4, Monthly Distribution Period, compute the withholding asfollows: Subtract $2,788 from the $5,000 payment for a remainder of $2,212.Multiply this amount by 28%, for a total of $619.36. Add $328.20, fortotal withholding of $948.16. Depositing and reporting withholding.Combine the Indian gaming withholding with all other nonpayrollwithholding (e.g., backup withholding and withholding on gamblingwinnings). Generally, you must deposit the amounts withheld byelectronic funds transfer (see page 2) or at an authorized financialinstitution using Form 8109, Federal Tax Deposit Coupon.See Circular E, Employer's Tax Guide, for a detaileddiscussion of the deposit requirements. Report Indian gaming withholding on Form 945, Saas Fee Encontrar hotelesAnnualReturn of Withheld Federal Income Tax. For more information, see Form945 and its instructions. Also, report the payments and withholding totribal members and to the IRS on Form 1099-MISC,Miscellaneous Income (see the Instructions for Forms 1099,1098, 5498, and W-2G ). Indian Gaming Profits