Legal Question in Civil Litigation in Massachusetts

Re: My friend owe me $4800 from the casino

You can bring an action in your local district court for the full amount owed plus costs. You will need to have receipts and credit card bills reflecting the withdrawals.

If you don't want to go through with suing your ex-friend or simply find it too burdensome, you can write it off as a "bad debt" on your tax returns this year. This gives you a deduction for the amount that was owed and outstanding. At the same time, your friend will be obligated to pay income tax on that money owed. To claim a bad debt deduction, you will need some basic information about your ex-friend, including name and address and if available, their social security number.