A buddy of mine wants to stake me in an event at the WSOP. I have never been staked before, and have a few questions.
First of all, is there any type of standard contract that one fills out when being staked, or are most of these deals done with a handshake? I am perfectly happy doing a simple written contract between friends so there will be no questions what to do if I cash.
Secondly, I would like to know about the tax implications of staking. Through a little research on the internet, it sounds like if I cash, I will fill out a IRS form 5754 to the RIO, so they can issue a W-2G, which, in turn, will let the IRS know how much I earned. In theory, I would list my staker on this form, and the RIO would issue W-2Gs for both of us. The reality; however, is that the RIO refused to follow the rules, and will only issue the W-2G to me.
Does all of this sound about right?