When we think about men or women winning a big real money poker tournament, it’s hard to ever imagine it as being a bad situation. After all, the lasting image is usually that winner surrounded by big piles of cash as a symbol of what their skill and luck has wrought. What could be wrong with any of that?

• Jonathan Duhamel is one of the rare examples of modern era WSOP Main Event champions who managed to stay successful and relevant after their massive win. The first Canadian world champion in the history of WSOP followed up his near $9,000,000 pay-day with great results in high roller tournaments like the one in Deauville in 2011 which he won earning $272,209.
• Total life earnings: $18,012,109. Latest cash: $20,000 on 15-Nov-2018. Click here to see the details of Jonathan Duhamel's 107 cashes.
• Jonathan Duhamel Wiki Biography. Jonathan Duhamel was born on the 24th August 1987, in Boucherville, Quebec, Canada, and is a professional poker player, who is still probably best known for winning the 2010 World Series of Poker’s (WSOP) Main Event, earning almost $9 million.

A Taxing Situation

Well, there is the small matter of having to pay taxes on those winnings. Taxes are at the heart of a case involving a former champion of the biggest poker tournament of all. The nature of what it takes to win at poker is also a big element of this interesting skirmish.

Back in 2010, Canadian Jonathan Duhamel was at the top of the poker world after the winning the Main Event at the prestigious World Series of Poker. That is obviously a high level of success to attain, something that you would think would require a lot of poker skill. But Duhamel’s success in the case may come down to whether he can prove his poker winnings were a result of luck.

The Canadian government is trying to collect $1.2 million from Duhamel. This is despite the fact that poker winnings are generally in the clear in Canada, in part because it is considered a game of chance. Perhaps the level of success that Duhamel has achieved is putting him in the crosshairs.

There are several tentacles of the argument with which Canada’s tax officials are trying to snag Duhamel. First of all, his high-profile win in the Main Event of the World Series of Poker gained him a sponsorship with PokerStars. And part of the payback for that relationship came in tournament buy-ins, which would seem to give Duhamel an edge on winning beyond any luck.

Jonathan Duhamel has won 3 bracelets and 0 rings for total earnings of $14,666,297. See all events where they placed in-the-money.

Second, there was Duhamel’s practice of swapping action, which also has been cited by the government in their case. For those who don’t know, swapping action is the practice of a player promising shares of tournament winnings to other players as they do the same for you.

It’s a way of ensuring that you come out with something even if you don’t play well. But the Canadian government argues the hedging practice bucks against the whole “game of chance” concept.

For Duhamel’s part, the crux of his argument is that all of the above only occurred because of his success playing the game. If it all came from a game of luck to start, Duhamel seems to be arguing, then it’s all lucky, and, therefore, not taxable.

Both sides seem to be stretching it a bit. On the government’s side of the equation, it does seem like there is a bit of a double standard in place, as Duhamel is being treated much differently from most other poker players in the country.

Meanwhile, if you had asked Duhamel following his Main Event win a decade ago if he won purely because of luck, he likely would have taken exception to that. There is definitely a skill set that separates the best players from lesser ones in poker. To deny that is the case seems a little bit skewed, at best.

We’ll have to watch and see how all this turns out in the end. In any case, it should be a warning to future Canadian pros to make some sort of concession to the possibility that the Taxman could be coming for any poker winnings they amass, especially if those winnings happen to be substantial.

Poker Show Revival

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There was a time where it seemed when it seemed that every television channel to which you turned featured some sort of poker competition. In the past few years, poker on television has slowed to a bit of a trickle. But as a byproduct, the practice of streaming live poker events has grown at an enormous rate.

It now appears that those two worlds are about to collide. First of all, the long-rumored return of High Stakes Poker appears to be coming to fruition. A recent trailer promised that new episodes are being taped, with the date for the return set for December 16.

For now, however, it appears that the show, which was known for the big money at stake each episode and the fun commentary from Gabe Kaplan, will be found in the online sphere. PokerGo is behind the reboot, and, at first glance, there doesn’t appear to be any network television component.

Also on the way back: Poker After Dark, another staple of poker television in the boom area of the early 2000s. In this case, this show has already seen life in the online sphere at PokerGo. It also appears to be slated for a December return after about a year away.

These two shows are beloved brands in the poker world, so the hope is that they could catch on in any sphere. And, even if they don’t start with any kind of television support, maybe they will do well enough to get to that point.

In any case, we are assuming that these shows will show folks sitting at actual poker tables, interacting in enjoyable ways, and winning big chunks of money for their Texas Holdem expertise. It was a combustible formula once before, and it certainly could be once again. It will be interesting to see how well these ventures do as we head into the end of this year and the beginning of the next.

Table Of Contents

Jonathan Duhamel is taking the phrase 'embrace the variance' to a whole new level.

The 2010 World Series of Poker Main Event champion has become embroiled in a tax dispute with the Canadian government, according to a report from The Canadian.

A $1.8 Million Question

The Canada Revenue Agency alleges that Duhamel's poker activities constitute the running of a business and he's therefore responsible for CA$1,219,114 in federal back taxes stemming from 2010-2012. That number could double with state taxes to Quebec, which would bring the total to roughly CA$2.4 million (~$1.8 million).

Duhamel, who has won $18 million and sits 33rd on the all-time money list according to The Hendon Mob, counters that his poker winnings are 'the result of chance.'

Not coincidentally, Canadian tax law does not require payments from winnings stemming from games of chance.

Both sides have laid out arguments in the linked piece for the case, which is set to hit the courts next March.

The tax authorities maintain that Duhamel's poker playing clearly constituted a business and not recreational gambling because he took the game very seriously, played heavy volume with 40-plus hours per week, and didn't earn other income. They also cited his piece swaps as evidence he was operating a business.

Duhamel's counter is that has never 'received specific training' in poker, and that luck therefore drove him to the millions he won. He says being labeled a professional poker player by sponsoring site PokerStars was purely for marketing purposes.

Unanswered Questions and Other Notes of Interest

Jonathan Duhamel

The tax dispute isn't the only notable thing to come out of the story. The piece from The Canadian provided some fascinating insight into the life and finances of a WSOP world champion.

For instance, the piece notes Duhamel's swaps cost him $4.1 million of the $8.9 million he won when being crowned world champion in 2010.

Furthermore, Duhamel's post-WSOP contract with PokerStars was spelled out as a contract worth $1 million for the following year. Of that $1 million, $480,000 was paid out in cash while another $520,000 was provided as tournament entries and fees.

It's also interesting that the only taxes in question seem to stem from 2010-2012. By no means did Duhamel's poker exploits stop then. In fact, while he has slowed down immensely in recent years, he won about $6.5 million from 2013-2015. He produced a banner campaign in the latter that saw him win just shy of $5 million, highlighted by his second bracelet and almost $4 million in the $111,111 High Roller for ONE DROP.

He also maintained his sponsorship with PokerStars through early 2015.

There are also some discrepancies between his alleged incomes in these years and the cashes credited by Hendon Mob, though they could be made up by sponsorships and changes in exchange rates.

What are Duhamel's chances of success when the case hits the courts next March, assuming there's no settlement?

Duhamel Pokerstars

Answering such a question would be beyond the scope of this piece, but The Canadian reports that Duhamel's lawyer plans to zero in on a 2006 case in which two recreational Canadian gamblers were cleared of tax liability after a hot streak betting sports.

Duhamel Poker Player Youtube

However, it's notable that many Canadian pros, even the elites, have frequently opted to skip the WSOP and other U.S.-based events because the heavy tax burden strongly hinders their expected value. The withholding treaty with the U.S. combined with paying normal Canadian taxes makes it a tough proposition, and if those pros are paying up, Duhamel will likely be expected to do so as well.

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