Ol' Houndy goes around the track for the next few days, collecting all the losers he can from his friends and others. Some of the tickets have footprints on them, since they were on the floor.
He collects enough to offset the gain, and claims the loss as an itemized deduction. Two years later, IRS audits.
The tickets, with $4,500 in losses on the first day, $5,334 the second and $6,166 the third, are presented to support the deduction. The auditor takes a look at the losing tickets, sees the dates, asks about his betting habits, sees a few footprints, and disallows the entire batch.
The thing about receipts is that they tell a story, but not the complete one. IRS will ask to see proof of the purchase as well.