Bitcoin Forum

Taxation is a topic that often comes up when it comes to someone winning anything in gambling.
The so called "nationally licensed" providers will usually automatically get a cut from anyone's winnings whenever they win anything.

And let's be realistic, we all know the drill with gambling. Most gamblers are not in the green and those that persist do it for the thrill of it, not to earn from it. So when you win, it's usually from your own bank. But whenever someone is lucky enough to catch a break, governments will slip in and take their share. Regardless if you've lost more than you've earned in total for instance. The irony on this matter is also that gambling wins are used to substitute how many taxes these state "licensed" casinos have to pay. So the whole subject of gambling taxation is unfairly structured towards the player.

Moreover, in many countries, filling out the forms to get taxed can be a nightmare. For winning 100$ for example, you will have to pay a big chunk of it to an accountant to find how it should be taxed. Bureaucracy is a whole other debacle in and of itself.

I'd imagine that many people actually chose to gamble with crypto to avoid these restrictions and bureaucratic procedures. It really makes no sense to go through all these troubles to tax a small winning amount. Still if someone happened to win a large amount on a small bet by chance, I'd imagine some people would want to tax it so they can spend it in the real economy as fast as possible.

I also think that the governments are cheating their citizens, gamblers can win or lose, but gambling sites are the ones that are constantly winning and making money from customers. In that sense, only those gambling sites are supposed to be taxed, not the gamblers.

It would be better if the government want to tax gamblers, the government also supposed to pay the percentage taxed of the amount the gamblers are losing. I mean assuming the tax is 10%, if gamblers lose money, government also supposed to pay 10% to the gamblers of the amount they lose. This will make taxing gamblers justifiable.

If you are dealing with those physical places and you do win up something and your government is  really that too strict when it comes to compliance about taxation which is including gambling industry then you wont really be having no choice but to comply with it or else then violation and penalties might be there or simply facing up some legal issues on which as a certain individual wont really be
have a choice but to agree into that huge cut. It is one of the most important feature on what crypto gambling had is that whenever you do win big then there's no way
that they could be able to ask out taxation. Why? you could opt out on gradually be able to withdraw those funds on staggered manner and it could really be done
anonymously or something that wont really be giving out any suspicions.

Well do we have adequate tax system globally,  I guess the answer in no because at most,  what we have is few states that have full gambling regulations and tax regime,  this is not so with every other countries,  in my country for instance,  there is not full gambling regulations so most of the gambling platforms still are unlicensed and whatever winning that are make from them,  are not reported to the authority,  so the issue with gambling and taxation is a silent characteristic of the gambling industry here in my country.

The situation may not be same with countries like the United States who have high regulations for casinos and at that,  there be working systems that deduct the tax percentage from every winning before their laid out at whatever point.

In my country, there is a law that allows the state to obtain 25 percent of any amount a person wins in games and competitions of all kinds, even if he won it with a company outside the state or on the Internet, if the state agencies are able to prove that. The state automatically deducts that amount in the form of payable taxes and considers it a taxable grant. Of course, these procedures go through a bureaucratic process that will take a long time, and it is not possible to predict how long it will last.
Crypto represents an ideal solution for those who are struggling in a country like mine. But taking into account that my country does not grant official business licenses to any platform that is not under its direct authority. In other countries, gamblers cannot escape paying taxes, even if their winnings are in crypto.

I'm not really gambling with crypto to evade taxation because there is no tax on gambling in my country. I chosed crypto for gambling for the numerous advantages it offers such as ease of access, privacy and fast withdrawals.

25% as tax is such a big number. At what point do your government deduct the money? Do they have the authorisation to debit accounts on the basis of taxation? In my country, we complain of tax that is 10% in my country... seems we are even enjoying here.  Besides, so many things are not taxable here and the rate of tax evasion is high.




 

I don't know what the views of gamblers are who prefer playing at crypto casinos rather than having to play at nationally licensed casinos like the ones you mentioned. In my country gambling is illegal, therefore I choose to play at crypto casinos. It's not only about privacy, but also about time efficiency and convenience.


LOL, That's the ideal thing for the government to do, but it will also be difficult in recording government financial income. No need to go too far into the real gambling side, let's just take an example like Coinbase users, do they get a kind of rakeback from the American government because of their trading losses?

This made me curious. Is there anybody here who actually pays taxes for his/her gambling wins whether from a crypto platform or not? While I'm aware that any form of income is subject to taxes in my country, I cannot remember of a single instance in which I paid for my gambling wins. I'm not sure how strict this kind of taxation is being implemented in other countries, but it isn't strictly done here.

Anyway, I guess crypto gambling isn't actually designed to shirk tax responsibilities. After all, most of these gambling platforms are duly registered and have KYC terms.

Not me, not that I don't want to pay taxes, but to be honest, gambling taxes here are lax, specially online or even in traditional based casinos. Maybe if you win the lotto or something you will be tax, but playing on casinos? I don't think that everyone is paying taxes or even declaring it in their tax returns.

Yeah, I think in the beginning, this is not what crypto based platform wanted to see, or even exchanges (but right now they are heavily tax specially in the US if I'm not mistaken). Hopefully there will still be some leniency as far as online crypto platform for tax purposes, otherwise it's going to be huge for us players.

In most cases, especially with lower-end wins aren't taxes just ignored or rather, not actively asked to pay? Well at least I haven't heard of anyone doing so (and I don't pay it since I play in crypto casinos not to mention I haven't really hit it big before). I guess it helps that it isn't that strict here but is there a country that's that strict when it comes to gambling taxes? Wouldn't it necessarily become crypto taxes instead since we use crypto? It's like everything spent/earned from crypto is subjected to whatever crypto tax law, if your country has one, instead of differentiating it.

I don't think my winnings at an online casino are taxable, if I win $50 or $100 at an online casino I will usually receive the same amount. But I don't know in land-based casinos, whether any winnings will be taxed or not

One of the frauds in taxation is that we as users are the subject of tax, even though the casinos should be the ones paying tax on the profits they earn. This also applies to supermarkets, tax is added to the price of each item in the supermarket, so it is not the supermarket that pays the tax but we as supermarket customers pay the supermarket tax.

They will be taxed for their business income but it's like with stock market, stock exchanges and cryptocurrency, cryptocurrency exchanges, taxation on a business operator will be separated from individual taxation on traders, investors or traders.

Logically, if people could not have that with stocks, stock exchanges, I don't believe government and taxation authorities will give some exceptions to cryptocurrency, gambling sites and gamblers with money they use for betting.

It will be based on each person's individual tax report to taxation authorities. If you don't report it, they will not know about it easily. They can figure it out with deeply analysis from their staffs so if a person wins big, thinking about adding that big win to a personal tax report is not bad idea.

Because with KYC and AML, governments have more and more tools to watch their citizen money flow even through cryptocurrencies.

Even brick-and-mortar casinos here, which are directly regulated by the government's gambling board, don't collect taxes when you convert your chips into cash. Even in cockfighting stadiums where there are government employees actually monitoring the operations and where hundreds of millions are at play, they don't collect taxes from the winners.


Crypto gambling companies and crypto exchanges are taxed, but individual gamblers and traders who are making money are probably not. To the first crypto gambling company or crypto exchange that deducts winning gamblers and traders taxes, if that happens, it would certainly cost them a lot of users and therefore revenue.

Taxation is it really disturbs our minds when we talk about profit. I am even unwilling to trade on my local exchange because they take the double tax (income and value-added tax) for one trade. So in this situation, I don't care too much if the gambling site doesn't take much tax for playing like the exchange, but if next they will make the same situation, I will think again about playing on decentralisasion gambling. This is quite a complicated situation, I really don't care too much if they take tax, and let us play freely without worry to banned.

This is one of the reasons that I am happy to say... I live in a country where casinos are prohibited, but there are no restrictions that prevent me from playing on sites outside my country using cryptocurrencies.

I don't play for profit, my bets are always for entertainment, but I can understand your concern and discontent for those who need to go through all this bureaucracy.

What is even more discouraging is knowing that these governments do not invest the amounts raised from these taxes in something that really helps the population. I believe that most of the money should be used precisely to raise awareness about the risks of gambling (especially among children and young people) as well as health for drug and psychiatric addicts.

Indeed, the licensing authority in each country must impose a certain amount of tax and the existence of taxes makes most people feel objectionable and even experience little stress when they have to accept the fact that a number of profits obtained must be deducted by taxes.
Just like I also never use local trading platforms in my country because they set taxes on every transaction, even when making withdrawal and sending it to a bank account, I also get certain amount of deduction.
Taxes are not always something that can be accepted by everyone, even though taxes aim to help improve the country financial problems, most taxes actually create difficulties for some people who may be in an unstable financial condition.
Maybe some of the gambling sites that charge tax are sites with income that is not too large because tax should be the responsibility of the gambling site and not take it from every customer who gambles there.
Moreover, the profits of every gambling site that has developed are very large, that only need to spend a small amount to pay taxes.

Well, I think that's the main attraction of bitcoin gambling first and cryptocurrency gambling later, which has been so important in the history of bitcoin and this forum, that people don't pay taxes for it.

But we should not generalise, in this forum there are people who live in countries where they have to pay taxes for gambling profits, other people live in countries where they do not have to pay or it is not regulated, and other people live in countries where gambling is prohibited.

The avoidance of taxes, together with the anonymity (increasingly in decline nowadays) and the volatility I think are the great attractions of gambling with cryptocurrencies.

If you are paying with crypto, it does not mean that you are free from taxes then. You still have to pay the taxes. Regarding tax filing by an accountant, yes it can be costly. But , I suggest you to learn this yourself. It is not something very hard and everything can be filed online following different online tutorials available on YouTube or Google.

Taxes seem to be unfair to majority of population especially in countries where politicians are very corrupt. But , if everyone decides to avoid taxes, the economy will come to a standstill.

Gambling is already very risky and if the gambling money has to be taxed then it is not a comfortable thing for a gambler. Gamblers usually take various steps to avoid paying the tax. In countries where gambling is illegal, there is no tax on gambling because people from those countries usually gamble through VPN, but in countries where gambling is legal, they are taxed. But not all gamblers pay taxes, gamblers are more comfortable gambling through crypto to avoid paying taxes. Each country's government sets taxes in their own local currency, so gamblers use crypto instead of local currency, thereby avoiding the need to pay additional taxes. Government should not take tax from gambling side because it is a very risky game and most of the times people get hurt by playing this game so if gambling is not taxed then gamblers can focus on gambling better.

Usually, there is a percentage of tax that the winner must pay. Usually, this percentage is immediately deducted when the winner receives the money. That's what happened to my sister-in-law. At that time, he received the main prize in the form of cash (I forgot the amount). But when he received the money in his bank account, the amount had decreased because he said there was tax to be paid.

Citizens cannot refuse to pay taxes, especially if it is gift money. The government or provider will immediately deduct the money for taxes. Additionally, there is a waiting period before the money is sent to the bank account and that is annoying. This waiting period is often more than 10 days and can even be up to 2 months.

But as for gambling at online casinos, I don't know because I've never won. But for crypto casinos, the winner doesn't pay any taxes because the winnings are in crypto unless he converts his crypto to fiat and sends the money to his bank account. But maybe the regulations regarding gambling tax in each country are different, so the implementation is also clearly different.

The regulation are certainly different as the first time I stumble upon this thread I was kind of surprised and skeptical on what to say because in all my time gambling and getting huge wins, I have come across such thing as payment of taxes or any deduction of funds by the gaming company before the funds reaches my hand except its lottery ticket you guys are talking about.

I use to bet sometimes on local casino here in my place and I can I have had my own fair winning and everytime , immediately the funds is been paid to my account direct and by this I mean fiat casino.

Recently there was this case of a friend who we taught at the same school together acquiring a massive win of about 11million naira which is equivalent to $10000 with a stake power of about low as $0.5, this winning is massive and the other day I was with him he told me that the funds has been paid in full by the betting company @sportybet.com.ng and without any difference to actual money so I really don't the fact about the taxes or is it that my own country regulation system is different.

Different countries have unique policies on gambling tax, hence it is important to always check these laws before engaging in gambling. In some countries, the casinos are mandated by the law to deduct taxes from every win, so the government don't expect gamblers to report or pay any tax. In some other advanced nations filling tax reports is simple because it is automated which means you don't have to go through any cumbersome bureaucratic process.

Crypto gambling in my country is unregulated which means the government has no control over them. Hence, I would agree that it could be a means to invade tax but that's not my intention. Crypto gambling is faster, safer, technically advanced and protects privacy, that's why I prefer it.


In some countries, gamblers can fill the amount of losses they incur on gambling and it will be deducted from the tax they are expected to pay. But the gambler has to prove his losses and win with verifiable records. This is ideal because just as in other ventures gambling involves income and expenditure, therefore gamblers shouldn't bear the losses while the government enjoy the wins.

A great topic, tbh.

Let's be honest, we all started gambling in crypto because there was privacy and anonymity. I would have continued to bet at bet365 if crypto casinos were asking for KYC earlier in the day. My first experience I believe was Primdice where you can make an account within 5 seconds, win and withdraw without anyone asking you a single question. To be honest, I think dice sites are still pretty cool and don't ask for identity and stuff.

But the range has expanded now and it makes sense why casinos require verification and documents because they are answerable to the license providers.

Well said mate, you've spoken my mind on this matter. This is the first time I'm hearing someone talk about tax on gambling. So do you mean that after a gambler has successful won a bet out of luck, there are agencies who will impose tax on them for winning a gamble? I mean what is this? Pardon me but it sounds really stupid to have such experience after winning. In my country taxes aren't imposed on gamblers for winning, since they bear the risk of losing or winning. However this is another reason why crypto is better than fiat, since they don't have full control over it, it will be difficult for them to impose tax on crypto gambling.

Well, we can't avoid some taxes... but if we can skip some of them why not?! It certainly depends on where we live, some countries are just very corrupt as you say, and I live in one. There is a gray area where many things are unregulated, and if I can avoid some taxes I will for sure. I don't think that gambling with crypto is taxed at all, but what is taxed is cashing out through the banks... but I don't care about that, my cashouts were p2p, so somehow I am still anonymous.

Crypto is far better than fiat, simply we don't have to bother with some procedures and third-party services... Direct & instant/ fast deposits/withdrawals from the wallet and low fees are what make crypto better.

I have just been recently informed about how gambling works here in the nearest cockpit in our area and yes this must suck for their patrons because a big chunk of the win goes to the government and worse, it's totally cut before you receive the winning money in cash.
Let's say betting for one rooster is x1.80. Gamblers there said to me you will only get x1.60 when you receive the cash. That's a lot of money if every player's profits will be cut by x0.20. Then, events like derby will happen and they will have more customer which means more cuts from their profits.
And there's the paid parking area too. More money.

In cryptocurrency, I was never taxed yet, it's only the transaction fees that hurt sometimes, and if you want to cash it out with literal cash the only loss is the exchange rate of the preferred currency because local exchanges mostly have lower rates than international exchange like Binance or others.
Everything is still legal and yes this is an ease for those who just win small amounts but are scared to continue so they withdraw.

Yeah, I guess some folks want to gamble using crypto coins and stuff to get around annoying paperwork and having the Man watching their money.  But don't forget Uncle Sam and tax people all over still say that money you make from Bitcoin gambling or whatever is still taxable, like assets, so if you win big you better be ready to pay up. 

Tax laws around gambling winnings can definitely be tricky, that's for sure.  Personally, I'm not a huge fan of having all my personal information out there for any organization to see either.  At the same time, we do gotta follow the law whether we like it or not and  my approach is trying to find a happy medium - being above board with reporting winnings when I have to but also using anonymous payment methods when I can to keep at least some privacy.  It's not a perfect solution by any means, but it helps me sleep a little better at night.  This stuff can definitely be frustrating to navigate though.  Perhaps someday well see regulations loosen up a bit to allow more financial privacy.  A guy can dream, right? In the meantime, just gotta play the hand we're dealt as best we can.

There are so many advantage of why we must gamble in using cryptocurrency but that is the best reason and why we need to hide from paying taxes using these currencies to gamble in many games and many sites available not mentioning the chance of doubling the value of your crypto when pump happens .

I also love the Idea of our gambling funds sometimes being inside the gambling site and then while you are gambling the market makes its ATH and yes you'll have to withdraw with how much value your coin is.

Maybe in other countries but in my own country gamblers are not taxed in any way, if that's happening anywhere then its not good, that's a big reap off from the government, although there are other ways that the government is robbing us in broad day light, so it varies depend on countries.

Some countries are even paying taxes on crypto, I read it online but that's way stupid, I will move out of such country because the cryptos aren't even supported by the government, they are trying as much to kill majority of these crypto projects yet they want people to pay tax? Crazy things are indeed happening in the world.

As a matter of truth, I have never like the government for anything, the only thing I expect of them is security, anything else is garbage, this was why I felt saved from stupid dramas since I started investing in Bitcoin, the government want an eye in everything.

This happens in a land based gambling platform where the government cut 10% or even more of the winner's earning even before they received their winnings, but on online casinos especially on Crypto casinos you will have to declare if you agreed to include it in your tax declaration and this is why its attractive to play on online casinos because of the government's tax cut

The government will always find a way to tax their citizen in everything they do and they see gambling as the easiest because they see this as a luxury and they think only those who has the money will play in the gambling platform.

I agree that is why the Crypto casino are now a multi billion industry and is taking a big cut from land based casinos because of the taxation, the government will find it hard to tax someone who is anonymous unless the government compel the online casinos to show their winner's information for taxation.

Why do governments tax gambling gains even if the gambler loses the whole thing? Seems like the opposite of fairness. Instead of taxing every win right away, shouldnt there be a system that reflects net gains over time? To make matters worse, the red tape seems to be involved, doesnt it?

Cryptocurrency can be used in gaming to get around these complicated tax systems, which somewhat restores balance. Seeking economy and fairness is what its all about, not avoiding responsibility. Looking at it this way, cryptocurrency seems like a way to make financial deals more fair, dont you agree? More than trying to avoid paying taxes, its about wanting a system that takes into account the player's total financial situation.

Gambling with the taxation is not the welcome one by the gamblers,because only the gambler who win the game can afford the taxes.But you had forgot about the gambler who not win any money from the gambling and need to pay taxes for each deposit to the gambling sites.This was the hardest part for the gambler who afford the loss and need to pay the taxes for the gambling involvement.If the gambler had won the winnings of 50$ from the usage of the 100 dollars,then he doesn't care to pay the tax of 10 dollars from the 50 dollars.This was the cause of the emerge of the cryptocurrency based gambling sites.The track of the cryptocurrency was not really easy one,So if you withdrew and deposit using the cryptocurrecny.It will help you to get away from the monitor of the government taxation department.

Gambling with crypto is no excuse for paying taxes but at least we can pay the taxes for net income instead of every win which is the biggest advantage in crypto casinos. And it makes sense though why the gambling industry is the place where crypto is used mostly nowadays so people don't really want to go through all these hurdles.

You bet, some countries charge 30% or more on gambling taxes or even income taxes from people. People pay 20% as a basic rate as income tax for their income in the UK, it goes up to 40% based on the amount they earn I believe. So, things are not always fair with people and governments of some countries really take out all their expenses from their citizens which can sometimes be truly frustrating. Imagine earning $2,000 a month and paying $400 only in taxes.

When it comes to gambling, countries where cryptocurrencies are regulated might be able to tax the winnings of gamblers even if they are in cryptocurrencies because if the gambling platforms are licensed and regulated, the authorities will be able to find the people who manage to win money from the platforms and tax them for it.

When we do speak about taxation then expect that government would really be that attentive into that, no matter what industry you are involved into and on what things that you are dealing with.
As long you could really be able to be taxed then they would definitely do it and they dont just care. %? It would really be that totally depending on them. So far here in our country
taxation in gambling winning isnt something that happening not unless if you are really that hitting some lottery then thats a guaranteed tax but if its not or simply saying
you are playing on a physical casino then you arent obliged on paying up something.

Its true that if something becomes too strict then it would really be just that so normal that people would really be going into those options on which they could
really be able to avoid taxes. Yes, it might really be that suggested since we do know on what taxes are and its benefits but on the sense that it do really goes
to the roof then this is where things that would make out those second thoughts.

It should always be based on net income since we will compute with our losses as well.
Luckily, my country still allows us to gamble without forcing us to declare any income online or with crypto because there is no regulations yet and that is why many are slowly adapting crypto because this can be a tax free market, well at least for the purpose of crypto income. Paying such big amount of tax that will just go for a corrupt politicians is always a heartbreaking to many.

Avoiding the tax legally are the best option to many and in my country you can gamble and win without even paying any income tax because it doesn’t require you to declare it. Its sure that the income tax rate differ from one country to other country, I believe some part of the US forces you to declare it as an income and that’s why they have to pay for the tax or a risky option to avoid if. Some gambling site collects the tax itself as mandated by the regulations so I’m sure you can’t escape paying taxes after all.

In fiat casinos, the taxes will be deducted by the platform itself and only credit the remaining funds to your account or at least that how it works in most countries. But for the loss, they won't take into any consideration and you can claim tax paid from the profits as well which depends on your country's gambling income tax laws.

I completely forgot about taxes since I have always been gambling with crypto casinos using crypto coins. It never occurred to me that there might be taxes when winning big. So If governments discover players who have won large amounts they will likely impose taxes for them not just on the winnings but also on assets they own in their wallets. In general, they could take a larger tax share compared to a traditional casino in real life.

Despite playing foe so long and in much casinos Ihave never paid taxes, and given that gambling and crypto are illegal in my country if I get caught that might lead to both tax issues and legal consequences for me possibly even getting to jail just for doing simple things and not harming anyone, it even sad to think about that

Unfortunately there are countries wherein gambling is really prohibited but due to taxation, some gambling providers and lotteries are considered to be registered under the government. The only downside is being taxed with a higher percentage and amount than with countries which are also implying such rule; but that's just normal 'coz tax percentage depends on which country you are living.

But going back, one reason for sure why we are gambling in cryptospace is avoiding tax. Actually I'm fine with paying tax over my gambling profit in fiat especially 'coz it allows me to gambling freely but if the percentage is that big, then that's why gambling in web 3.0 is more preferred.

If the gambler is taxed from their winnings, most likely, the casino is subject to other taxes too. In our country, taxes on winnings is implemented to generate revenue for the government and regulate the gambling industry and it is a way for the government to benefit from the economic activities associated with gambling. They also think of it as a method to discourage excessive or uncontrolled gambling by individuals so only those who can actually afford to gamble and pay taxes can play.


This is crazy. If this happens, everyone would try to gamble because theyll get their money anyway. I cant blame you for thinking that your government is cheating on their people. I also think the same way too because I cannot see where our money is going after paying all those tax fees.

Imagine paying the government of your country 30% of your profits and then having to pay local taxes, double tax rates, in short, it all depends on where you live, in any case betting with cryptocurrencies does not imply evasion of your responsibilities.

Well, tax evasion on cryptocurrencies, it is a premise that applies to Fiat as well, now, cryptocurrencies offer advantages, perhaps, but Fiats also have their advantages, the point is that you must recognize your obligations, and stick to them.

^{#TBT Topic}

Yes, that's one of the reasons people gamble using cryptocurrencies. One is to avoid local restrictions and the other one to avoid taxation.
In case of a very large win, it might be profitable for a gambler unable to hide it to move before claiming the money. If you live and work in a country that taxes you heavily on your wins and can move to a neighboring country that doesn't, the choice is obvious. As bitcoiners say, vote with your feet and leave the country.
IMO choosing not to pay taxes in a country that steals from you is another way of voting.

Yes, in this area taxes are very similar to robbery (as in other areas, but here it is even more similar) and it is better for the player to avoid taxes, crypto really helps here. By the way, also due to the fact that even if you are in a country where gambling is prohibited, you can safely play online.
What irritates me most about gambling taxes is that the principle of prohibition of double taxation is not respected - the state collects taxes from both casinos and players.

We cannot possibly conclude that moving countries to avoid taxes, but crypto gambling is the solution to all taxation problems, licensed crypto gambling also has no problems with taxation so we need to avoid fiat gambling because they determine too high a tax on every winning bet. Actually I don't have a problem with taxation as long as they don't determine the high percentage that must be paid to the government, but 30% to pay taxes is unreasonable and any casino that deducts high taxes should be abandoned, they should switch to cryptocurrency gambling that does not limit high taxes from every bet.

Well there's not really any legal workarounds for not paying taxes, and imho gambling taxes makes as much sense as other taxes. I am all for taxing as i believe everyone is responsible to contribute to our infrastructure from profits they make. But if you only win $100 or small sums in general, i don't think you should speak with accountants but just do your taxes yourself. Hire an accountant when you actually afford one.

And this is not just crypto gambling but with profits in general. You pay taxes from winning profits, unless you are finnish citizen and gamble insine finland, as we get winnings tax free. But only when it's our govenrment's official monopoly that's controlling gambling in here. If i play overseas online, i need to do taxes for gains as anyone else.

The taxation of cryptocurrency gambling winnings varies depending on jurisdiction. In some countries, crypto gambling winnings may be treated as income and taxed accordingly, while in others, they may be exempt from taxation. It needs to understand the specific tax implications of crypto gambling in your jurisdiction.

While crypto gambling may offer some potential tax advantages, it's essential to approach the situation with caution and consider the regulatory uncertainty, and KYC risks, and potential tax consequences. Explore licensed crypto gambling platforms, diversify your gambling activities.

Many of the gamblers are not ready to pay the taxes for the gambling deposits and withdrew from the gambling sites.If the gambler not win the big money or not able to hold their deposit money,how he able to pay the taxes for the nothing he had earned and loss of the capital investments.So it was need to think by the government to make the taxes for the gamblers for the deposit of the money t the gambling sites.As we know the state collect the taxes for the players and for the gambling sites.So it was look like the double taxation for the single process,if any gambling sites approach the government for this.We don't knowit will works,but if it work we will free from paying taxes to the government.

You might be surprised if I told you that in most, if not all, cases, the winner does not have the ability to use those profits before being subject to tax.  Currently, most of the companies controlling the market are active outside the framework of the laws regulating the sector.  The relationship of trust alone is what guarantees the exchange process between the two parties. The state either considers the profit illegal and confiscates the entire amount, or considers it legal and takes a quarter of it as a tax.  This depends on how strong your arguments are to prove profit.

Are you suggesting that gamblers pay taxes immediately when they make a deposit? I doubt that anyone will agree to this. The fairest and most appropriate solution is for only the casino to pay taxes. For a casino, this is a normal business that brings in regular, predictable income, but for a gambler, winning is a rather rare thing (if we are talking about the fact that winnings exceed spending on bets).

I honestly don't understand why governments keep persecuting gambling by placing absurdly high taxes when gambling is a form of fun, I agree that the casino owner owes taxes, but it should be a fairer tax amount, something like 14%. Let's see what happens when people go to buy beer and consume it at home or in bars, people look at the price of beer and pay for the price they see, the price of beer already includes tax. So why don't they do the same thing in gambling? Why when people buy a lottery ticket doesn't the ticket price come with the tax? For example, if a person buys a lottery ticket for 1$, then this 1$ must already include the tax value, so if the person wins, for example, 1 million dollars, then that person would take the entire 1 million dollars. This thing where someone earns 1 million dollars and then when they get paid they end up with $500,000 just because 50% of it was tax, it's wrong. the profits of large companies, the profits of banks are not deducted 50% for tax. At least I haven't yet read in any news that a bank in some country made a profit of 1 million dollars, for example, but only kept $500,000 because it had to pay taxes

In my country, when people win the lottery prize, they receive 100% of the value of the prize, no taxes are deducted from them, at least in that part I think that the government of my country is very correct, I don't know how long it will be like this, but For now, this measure is very good, but the value of the maximum prize is very low, it does not make anyone rich, a millionaire, unlike lotteries in other countries. In my opinion, the lottery owners in my country are getting very rich, because many people buy tickets, it takes a long time to find a winner and when there is a winner, the prize is not a lot of money, you can't even buy a decent house . at the end of the day and a scheme to make lottery owners rich

I don't know regards crypto casinos, but I see this happening at the national lottery prize and I think the lottery should be forbidden from announcing a prize that doesn't correspond to the final liquid prize, once all the taxes are deducted from the total sum of money. However, since it's the government which is behind it, they are totally allowed to lie and deceive, as they wish. Anyway, it's really a shame that it works like this, even more because the taxes aren't low. They stay around 30% of the prize, besides some extra taxes which are also deducted on the process.

I agree with you here and that will be equitable for gamblers because they also lose, and when that happens they are suppose to be repaid. Or if not in full percentage of the lose at half like 5% will also suffice. Gamblers who reside where there is taxing regime are not treated fairly and that could lead to tax evasion because when you lose you are not happy, and a serial loser is such in a disadvantage than he who makes profit at least. So I think they need to visit such gambling law.

They only cut taxes on major prize won such as lottery, slots and so on which the amount is huge. Casino doesn’t tax any bets made on their platform since the player should declare it voluntarily to their audit for taxes.


It’s the gambler problem anymore about the general stats of their bankroll but most of the grand prized from national gambling games is automatically deducted by taxes. It’s part of gambling though.

How government are cheat the citizens by gambling site? a gambling site manage by a private company so here your all losing money got that company not government. and on the other hand if you win the gambling you got huge return will you give any tax to government or that site then? then why you expect something return when you loss on gambling?

Lol.. I did not find any logic in your statement.  You know that gambling has both win and loss so why do you gamble?  You are willing to gamble knowing that you have to take full responsibility and accept the loss.  And the government taxes you on the income and doesn't count your gambling winnings. So why do you think you should get some return after gambling losses?

Sometimes we are a little confused, because to play on a safe gambling platform, which has a clear permit and license, then to be able to play there, we will be taxed quite a bit too. But when we are desperate to gamble on illegal gambling platforms, then this will only bring us closer to a loss. Because the illegal gambling platform does not have clear accountability to each visitor. And it is possible that we will lose some money when making a deposit.

And to prevent this, we inevitably have to play gambling on official gambling platforms that have permission or license to establish a gambling platform. And the question is, why does the government continue to increase the tax value for gambling activities to be higher? The government does this so that they can continue to control gambling activities circulating in the community in the hope that community involvement in gambling can be reduced. Because at this time gambling activities are quite popular and many also experience problems of addiction to gambling. So the steps taken by the government to overcome this, is to increase the price of taxes, with high taxes, the affordability of the community to play gambling decreases.

Not really as far as I know before a gambler get taxed, the gambler will report his gambling expenses and profit.  If the person is in a loss, the government will not tax this gambler thus the tax exemption is applied.  And I believe this is also true in business, before they get taxed, the report should state that the business is in profit.

The government is not that heartless, they only tax the net profit of a person, the only exemption is those people who won the lottery jackpot.


Obviously isn't just the $100 win report you are paying for, you are paying for the audit of all your gambling activities  and any other financial flows that year.  


Tax as I believe is done annually, so a person need to pay for an auditor once a year.  I don't find any country that tax their people everyday (except for VAT on the items we bought).

My opinion may sound off to some people, but then, we all are entitled to our different opinions after all.

I honestly do not find anything special about gambling with crypto when it comes to taxation, the benefits I find with gambling with crypto is the easy and fast deposit and withdrawals, fast winning settlements and so on.

And this is because, when it comes to taxation, winning in crypto can still be taxed same way fiat is taxed, if it's not yet happening, that does not mean it will never happen, with regulation coming to cryptocurrencies in general, rest assured that soon, even winnings in crypto will be taxed.
And for some other countries, if crypto winning is not taxed, then the player will still have to pay it when he or she exchanges the crypto to fiat and withdraws it to his or her local bank account.

So honestly, I think the issue of taxing is not something we can completely run away from, most especially those who live in a much more developed countries where technology have improved so much, the sooner we have it at the back of our minds that crypto winnings will one day be taxed, and prepare ourselves for it, the better and easier it will be for us when it starts happening.

Everyone has reasons why they choose to gamble with cryptocurrency to avoid local tax. We need to make sure to avoid taxes if we know that we are paying too much tax for no reason. Sometimes the government enforce tax on gamblers without minding how many time the gamblers had made lose. They are only interested in what you have and in turn this is affecting people. We know that making profits always do not happen but it is mostly mixed. It is good when we have other means that avoid taxations if is nit going to affect us in a long run when we are finally caught.

I'm one of them. The authorities in the jurisdiction I live have no expertise to track whether I'm gambling through crypto or not and how much. The thing is crypto gambling online is still a grey area. I need to pay taxes withdrawing from a gambling site to my bank and pay when I withdraw from exchange to my bank. But if I don't use the bank they get nothing.
They might have my IP logs of visiting the site but they can never prove anything and haven't tried it with anyone. The only downside is one day they may block the popular ones from the internet and VPN are not allowed in many sites.

It cannot be denied that taxation is something that we often avoid, we don't like, and even makes us grumble because of the high taxes that we have to pay in some cases. Even now, on local exchanges, there is a direct tax deduction when trading there. so we can't avoid it. especially in gambling, if there is a tax deduction, of course this will also be a burden for users if the nominal amount is unusually large.

Gambling using crypto might be able to avoid taxation, but won't that also depend on the online gambling platform? Or will it also affect when a gambler withdraws their money to an exchange or when they make a withdrawal to their bank account? Whether we like it or not, if the government has implemented taxation on our income, there will be a thousand ways to get it from us. ha ha ha

for now, i think a lot of crypto gamblers are enjoying the benefits of not getting taxed out of their games. most countries are still in grey area  when it comes to implementing their taxation protocols over crypto. this is why i truly believe that a lot of gamblers are still getting away from paying those taxes. it is true that we are heading to the direction of being under the eyes of the authorities but it would take time for them to even draft the actual regulations over crypto. this is why enjoy such benefits while they are not fully implementing such taxation laws in this market.

Whats better policy for taxation is to tax companies who do employ accountants and run formal books.   The risk run with taxing a population with small amounts gambled or spent is they become criminalized by the paperwork and inability to file any forms on time or correctly.  It makes far more sense to have any national policy vs companies, again legally they will have staff to be aware of all the varying laws over time.   Personal tax was not common until the modern age, its only in the last century its now every person not the companies who are held responsible which is unfortunate and clumsy imo.

I have paid taxes indeed because no matter how much you win, at some point you have to exchange it for fiat and that's where you have to mention how you earned the money you are receiving. Yeah that said, when you are losing you at least don't have to explain it or mention it.

True and agree 100%. Crypto casinos were popularized for 2 main reasons, one was transparency for provably fair games and second for the anonymity.

Mmmm I don't know in yours, but in my country you can detract all the loses of the year from the winnings when you gamble, so you only pay taxes on real profits. I agree that you have to know how to fill up the tax forms and update an excel every time you play so you keep perfectly your track, but left all this hassle, it is fair somehow.

I like the crypto + gambling combo not because of tax evasion but more because of privacy and, at last, because it is like gambling on steroids: you lost, but the cryptos went up and you end up winning, or viceversa, which is much more exciting IMO.

So you have no problem with taxation, but start having a problem when it's 30% or more? You should check the income tax by country and you'll find that many countries exceed that level.
In fact most of Europe is above 30% when you reach a certain income threshold and in most of these countries cryptocurrencies are nor exempt from taxation.
Germany is one of the few countries where you can avoid paying tax on your cryptos, but I'm not sure if gambling profits fall into this category. You'd have to hide that profits come from gambling and report your cryptocurrencies like they were an investment.

https://taxfoundation.org/wp-content/uploads/2023/02/Top-Personal-Income-Tax-Rates-in-Europe-2023-Income-Tax-Rates-or-Individual-Income-Tax-Rates.png

Both the government and gambling company are living on us in our winnings and losses, like a parasite we are their host and the escape from taxation into crypto is definitely a temporary escape therefore we should enjoy it while it lasted. The government will find ways to penetrate, if they can do it with exchangers then it's all possible that in ways we never expects they will penetrate through get us taxed, and the gambling companies won't want to act deviant to that when the time arrives so they can have a smooth business environment in the jurisdiction.

Well in a way, gambling with cryptocurrencies kinda put you in a position wherein you are able to avoid taxation since it's still not clearly defined on how governments will tax proceeds in winnings through cryptocurrencies. I agree that it's kind of unfair that gambling winners still need to pay governments their 'share' of the pie due to legal reasons, but the money obviously came from the platform that also has to pay taxes, so it's just a chain reaction that we all are a part of.

Sooner or later, crypto gambling will have a more accurately-defined taxation laws. It's always just a matter of time for new things when it comes to law, and crypto gambling is no exception to that.

tax can be avoided in crypto casinos which are made for crypto gambling by winning their and keeping the winnings in crypto but while withdrawing we need to pay tax on crypto gains,
 But i think it will be hard to avoid tax deduction sites which just allow deposits from crypto and play on their platform with fiat.
Not every site deduct taxes we can withdraw what we have won on their sites without giving anything to site or government, legally we need to pay taxes if the winning amount is taxable.

in my country (Italy) winnings are taxed "at source" by the bookmaker but in the case of substantial winnings they must be declared and an additional tax must be paid!  >:(

The most disturbing thing is that here we have a monopoly that restricts the number of operators and requires everyone to adapt.
What happened? It's simple: we have fewer events to play, less "liquid" markets (since only Italians can play) and lower odds than those found online (!) .... pretty clear that with an arbitrage system they are earning much much more % respect other countries...
And Yes, if you win from a crypto casino (that it's something borderline...) you need to declare the amount you win (and you can also risk a fine for playing there...)

This sector is obviously seen negatively by public opinion.
But imposing this whole series of conditions makes us understand how bad this system really is :(

The gambling sites are supposed to be the one paying taxes, if you are a gambler in any country that you are been taxed for winning I am so sorry for this is inhuman behaviour from the government,  I would rather not gamble at all, because it's like gambling for the government, I am not a enemy of the government but I am never satisfied with their ways of leading the people, such thing isn't happening in my own country but it's sad that many people are facing this in some part of the world.

In my own country there is no form of taxes on gambling, both online and offline, but I am pretty sure that many gambling companies are paying good amount of money to the government, I am sure that they are the only ones paying taxes, not the gamblers themselves. 

Taxation makes no sense, it really shows that the government are living base on the peoples money and they don't care if the world knows about this, because of this taxation nonsense that's why I decide to never travel to some foreign countries where taxes is a most from those who are still struggling, it's killing.

I can't discuss the tax systems of other countries, because I'm not 100% familiar with them.
The tax system in my country is as simple as it gets. There's a 15% gambling revenue tax(which all casinos have to pay) and the gamblers should pay 10% income tax for their winnings. It's not that complicated and it doesn't require an accountant to be hired to do your papers.
But yes, all people hate to pay taxes and the crypto gambling industry was created with the initial purpose of being free from taxes(because crypto wasn't well regulated 10 years ago). Nowadays, crypto gambling is as regulated as fiat gambling(well, most of the crypto casinos) and I can't find any major benefits of gambling on a crypto casino instead of a fiat casino.

It's good to pay your taxes if you are a good citizen and you see how your government is utilizing the tax correctly. But it's annoying if the government appears to be cheaty, where they would only be concerned with the winning of the players and turn a blind eye to the losses. Well, tax laws vary per country, but the ones I've read don't give room for the government to cheat their citizens.

In gambling, all the laws I've read were clear and most of them have the clause that you only have to pay tax on the summation of the (gross profits - gross losses = $), not otherwise. So I don't see cheating here, for example, if you have had an aggregate loss of $5000 in 6 months in 100 bets and you just won a bet of $5000 in a day, you are still paying your government nothing $(5000-5000) = $0 tax. This is fair enough to me unless the person is looking for an ingenuine excuse not to pay the tax.

It even got better in my country as gambling earnings are considered non-taxable income for the bettors, and the government earns gambling tax from the income generated by the gambling house. The exemption is when the gambled money is higher than 150,000,000 of the currency which is a huge money that you rarely see people gamble with. So, anyone can see why the government at most times do not pay attention when the house cheats their customers as that would amount to more money for them...lol

Well I wouldn't know how that feels like, I can only imagine, because in my country, government pay less attention to taxing gamblers and casinos, so it doesn't really have that much of an effect on us the gamblers. But if there's one thing I know, it's the fact that government has this special satisfaction they derive in messing with their citizens, whether in the tax sector or other sectors. It has always been their thing.

For countries that implements such taxes on gamblers, then year, crypto casinos are simply the best option, because you don't see the government coming there to tell you what to do with your money or take some part of it. The losses alone is enough to make someone go crazy, and it's only unfair that when you manage to make a win, you have to cut a chunk of the money and give it to the government for tax. That's insane.

It will depend on each country because there are countries that don't mind and don't ask for taxes from crypto users, especially if they can win from gambling at crypto casinos. But I don't know what the regulations are in countries that allow crypto to be used for betting. There may be taxes they have to pay because regulators monitor all the activities of their citizens. Regulators or the government can easily track the use of our money and they can also ask us to pay taxes on the gambling we do. The government can also find out if we can win from casinos, and they may ask for additional tax money than before.

There are countries where laws are soft towards the casino and most of the casinos move their operations there to save taxes. Similarly, the Curacao license got so popular because it literally allows the casino to do whatever they want. As for the taxes on the gambler, I think it depends on the country you live in.

If the taxes on gambling are too high, which doesn't make sense, then yeah you can gamble anonymously and at least avoid paying taxes on money you are losing xd.

I agree with you that these are unfair procedures against those who will win, but at the same time I rule out the hypothesis of deception when one of the state institutions is the one running the competition because it employs legal representatives specialized in this type of procedure to undertake the monitoring and verification process during the competition and during the distribution of prizes.
However, when the winner is participating in a competition run by a platform or company outside the country (usually online), the receipt of the tax will inevitably pass through the official channels of the state, and therefore he will be required to prove its source, which will be known to the authority on the basis of which the value of the tax will be determined and deducted.

Partly true but it's more on convenience, because of the popularity of online casinos and the use of Cryptocurrency, taxation is easy offline because your winning before you receive it is already deducted by taxes but when it comes online things are complicated, but for me, I am not playing online with Cryptocurrency because I avoid getting taxed it's just that I'm more at ease playing online in the convenience of my house than going out to play on offline casinos.

There is no way one can avoid paying taxes at all if they are living in a country that is pretty strict with these things because even if you manage to pay no taxes after winning in a cryptocurrency gambling platform, you will eventually have to cash those cryptocurrencies out and when you do that, you have no other choice than receiving the money either in your bank account or any other micropayment system and both of these are completely regulated and accessible by tax authorities.

So, when you receive a certain amount in your account, they would know about it and you will be asked to pay your taxes or in some cases, they might even deduct it from your account balance in case you have agreed with their terms and conditions and there might be a term regarding this as well.

Most gamblers don't like to pay taxes when it comes to gambling, so gambling on crypto gives them more benefits. There is no government control in crypto everyone can bet independently online. No one will get the information easily for online gambling. There is no provision of taxation through these online gambling. So whatever amount of money one wins from this gambling he can withdraw it without paying any tax to the government. This massive and uncontrolled flow of money from one country to another through online gambling. The type of gambling has changed with the times. Therefore various forms of online gambling are beyond the control of the law. Off-line gambling is taxed by the government as it is covered by government laws.

I think taxation in gambling will also depend on the games and if where they are done (e.g offline or online) and maybe depends on the betting company as well, as some games like lottery are still not being taxed on some gambling places, mostly online. It also depends on the country, as I already heard some countries are being taxed on their gambling activities while I believe many aren't like that.

We are wrong if we think we can escape tax if we use a crypto as a currency because there are countries now like for example India are taxing the crypto users. Not only that, but the tax being charged on them is also bigger than usual.

Where do you have to pay taxes on winning? In my country I don't have to pay any tax to win or withdraw money from casino. I couldn't imagine if anyone had to pay taxes on winning. Btw what happens when you lose? Do you get tax return? This is so unfair.

If someone lives in a country where they pay tax on winning from blackjack on casino, they might be forced to pay taxes on their crypto income, so this is not going to help them.

Lot of people look for means to invade tax all the time, which make sense in some points, depending on what the government wants to task the citizen for.
 
For the aspect of gambling, well, I don't even know, how serious that form of activity is in my country – if not, such tax is not even worth paying in my own opinion. I play, gamble and I lose all the time and they don't refund me for that, which is recorded as my own lose, and when I finally win something little from gambling, they will want to tax me. 
 
Casinos are being tasked and they pay heavily to the government for operating in their so that alone should be enough for them. And even if we use crypto all the time to gamble or to make our withdrawal, there is a way the government can impulse this tax on this casino, if they are licensed by them, and whichever means that gamblers want to withdraw with will help the government deduct the tax. It will be easier for them to identify using logging IP and KYC.

The thing is that things should always be like this, when we are in a casino we must do things for our benefit, no type of tax should be given to a government for us playing and when it is for crypto, well less, things are not They can give like this because when we are in a casino and we have options to do things to enjoy, we do not have to put them like this so that others can get paid, no, that is something I would never do, and it is also obvious that by simple inspection , I will never in my life You should not pay taxes for using crypto or for using a casino, unless you know crypto is natural, because it is something that we should not do, I have seen that there are some users here in the forum who do agree with paying taxes for using crypto and launch a crypto casino , the truth is that I think they forget why this thing about bitcoin and crypto was created, where their main function is Freedom , that no one touches their own money, not even a government, much less a bank, so be it. to have fun in a casino.

This thread is good to remind some players of that, perhaps those who want to pay for crypto because it is their decision, I don't see any other option, everyone sees how they give away their money, but I am of the opinion that they don't give anything to a government, because obviously I have a very bad view of governments since I do not trust any government, for me they are all corrupt, and that is being seen worldwide, so when it comes to this matter of crypto it should never under any circumstances be paid something, that should never happen, because it is something that we should not allow.

They encourage paying taxes for using crypto or for using a casino, under what criteria will they want to do it? What I sense is that they want to show that they have a lot of money, or that they are exemplary citizens, something like that is what I imagine, or maybe they want to attract attention, there are many reasons, there are people who like to be recognized by others, they are something I don't understand.

A typical live happenings of how taxes are actually paid by the customers alone by virtue of extension, most times it turns out the these supermarket and big stores actually don pay tax because by extension they make their customers pay by virtue of everything they bought.

Personally I've not experience tax with my wins from casinos except when the money is paid into my bank account them the bank tax but directly from the casino I get my exact money. Except for land casinos which I don't have much idea because I don't gamble in the land casino except online in my convenience. Gamblers experience taxing mostly with some of these online casinos who are not reputable enough so they can use such opportunity to exploit gamblers.