Paul,
The answer is simple. Some card rooms running poker tournaments are chosing to follow the Binion's closing agreement; other card rooms are not.

The Binion's closing agreement was put together by me many years ago with Jack Binion when I worked for IRS as Las Vegas District Gaming Industry Specialist. It prevented the IRS from witholding taxes on poker tournament winning payouts of $5,000.00 or more.

I gave Gene Trimble an interview involving the entire wagering pool issue when he wrote for Poker Digest. The magazine is now defunct. Perhaps Gene or someone will have a copy of the interview. It will explain all you wish to know.I believed back then as I believe today if the IRS forces witholding on poker tournament payouts of $5,000.00 or more it will destroy poker tournaments.

I have sent Andy Hughes a copy of the interview with Gene. Perhaps he will place it on his web site uner the "Perlowski files" for all who wish to read it.

Best, Mr."P"