Final answer:
Gambling losses are not subject to the 2%-of-AGI floor.
Step-by-step explanation:
Gambling losses are not subject to the 2%-of-AGI floor. This statement is true.
AGI stands for Adjusted Gross Income, and the 2%-of-AGI floor refers to the threshold that must be exceeded before certain itemized deductions can be claimed on the federal income tax return. Gambling losses, however, are an exception to this rule and are not subject to the 2%-of-AGI floor. Instead, they can be claimed as a deduction even if they do not exceed the 2%-of-AGI threshold.