Bitcoin Forum

A common question that I see asked is "do I need to pay tax on my crypto gambling winnings?".

I decided to write an explainer for anyone in any doubt, feel free to give it a read here:
https://bitedge.com/blog/crypto-gambling-taxes/

Explained within are:

- Which countries tax for crypto gambling winnings
- Which US states are better to gamble as part of a business rather than personally
- How to calculate any capital gains
- Capital gains tax rules in different nations

Let me know any comments on the rules, or any experiences you've had which may benefit myself or others.

Hopefully this make crypto gambling a little bit easier for people!

You wrote that?

On the page it says the Author is "BitEdge" - is that you?  Welcome to the Forum.

(Did you know there's already a user here call "BitEdge (https://bitcointalk.org/index.php?action=profile;u=526886)" who's profile has links to that site already?   ::)

https://talkimg.com/images/2023/05/16/blobcb99c2a7b4717875.jpeg

I don't know why such a question is asked in first place because winning money from lotteries or gambling is the same, either you win via fiat casinos or you win them through crypto casinos. It shouldn't change much and frankly speaking, hardly 10% of the players are paying taxes I believe who are playing at crypto casinos because otherwise they would be playing and enjoying at a fiat casino that offers larger benefits but requires KYC.

Good article nonetheless though and I think it might help some users who want to pay taxes on their crypto winnings.

Good catch but I guess OP might just be an author on the site because I have myself worked on a few sites as an author. Just my assumption.

Haha. Interesting note. It's not like a guy wants to get merit for someone else's work)

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It seems to me that 99% of gamblers in whose countries winnings in casinos are taxed try to avoid paying them simply because cryptocurrency withdrawals from casinos are hard enough to track. As we know, some supporters of anonymity even use online casinos as a mixer.

Uhh, I'm not sure that question is asked 'that much' here to  be discussed in its own right. Still, if you're the real BitEdge then thanks for it anyway. To answer the general questions of the people when it comes to taxation and gambling, you have to understand that it depends case per case, usually country of operation being the biggest factor and licenses as well.

Depending on your countries laws if its included on the scope when it comes to taxation matters knowing that crypto gambling businesses arent always regulated
or even simply talking gambling business as a whole wether those places arent subject to tax but in most case those traditional places do really have big
part when it comes to tax.

Taxation is differs from country to country, in our country I believe in general rule you have to pay taxes for your earning, however, if you can hide your crypto transaction (whatever it is) you can choose not to pay taxes. Maybe there's a risk and it could be serious if I get caught, but I'm so confident that I will enjoy gambling using crypto and just bag may winning free from taxes.

Most countries like US and UE maybe are strict with their crypto tax implementation, particularly in gambling.

Anyway get an accountant if one has trouble calculating his tax due, penalty is huge for not declaring the correct amount, whether it's an honest mistake.

Here on my country, when i do win some serious amount then im not really paying up tax at all because those winnings would be converted to fiat
but not directly going into my bank account but rather those are converted first on a local wallet which would be next to be cashout on other
various ways or mediums that you do prefer which simply wont really be asking out some tax on their part but i do believe that sooner
or later those platforms that ive been using will surely be regulated and will be imposing those kind of reductions.

I think those gambling sites are needed to pay the taxes not the players because in the first place they get a lot of profit from the players so even they millions of dollars as taxes it is very little percentage compared to their money they get. But in the some gambling games once you are winning on the games they deducted a tax to the player which is very unfair.

Could have been a good source of reference almost gave OP merit for a very good article, glad that I scroll down and just saw that he is busted, OP should prove why claiming something he doesn't own, and if he is the alt of the original creator then he better clarify it,
On the subject, our government has not yet place rules and regulations on how to proceed in paying taxes to our winning in gambling, maybe because they have not yet tap the potential source of funds in this industry.

Those gambling site will be the one to pay taxes for you, and they calculate it automatically so no need to file manually if you have winnings on any crypto gambling site. Many didn’t bother to look for how much taxes they’ll pay if they won, because its totally automatic and it will be deducted once you withdraw your funds.

Though, I think some country are requiring their citizens to declare their income from any market so I think if you’re honest enough and don’t want to experience any problem, you have the option to declare your profit in gambling or not at all.

Since when I was a kid, I've already saw those lottery winnings and they have to pay for the taxes. And there's always those notes on the screen about "taxes excluded".
And just as the same with crypto gambling wins, they're also the same as the typical gambling wins just as you have said on your article. Unless you're country tells you're exempted or no need to, then you're good, otherwise, you need to file.

It depends from country to country as the tax laws differ from each other. So if you don't want any trouble, you need to know what is the current regulations in your country. No one can do it for you, so you need to know those specifics so you will not face any issues later on with the government. Better learn it ahead of time rather than fixing your financials at the end.

I don't know who is the real author. One user has stated about bitedge as the true author, because the article is published in his own blog. Anyhow thats secondary, the article gives a good briefing in a simple way about the taxes on cryptocurrency used gambling.

In US it is possible to collect taxes using the social security number, but this isn't possible with every country. Maybe they have got different processes similar to this, because it is quite easy to hide the winnings or losses from the authorities when played with cryptocurrency.

In real life, though, it is quite hard to keep track on your gambling bets and winnings and the prices of BTC, ETH, LTC, XRP, or whatever cryptocurrency you are using at the time you placed the bets and by the time your prize was deposited. It's easier to those who place single bets every once in a long while.

There was a time when I place more or less 6 bets in a single NBA game alone when I do live betting. I usually made tens of bets a day at that time. Add to this the deposit and withdrawal that one makes every now and then. Not to mention the fact that a lot are using several gambling sites, probably a couple for dice, another 3 for casino, 1 for poker, 2 more for sports betting, and so on.

I’m surprised to learn that some countries don’t tax gambling winnings. I may have to see that somewhere more official to believe it. I guess being from the US I’m used to considering everything taxable. Most of the time this isn’t an issue though because gambling houses aren’t in the business of losing money.  ;)

Sad to say in my country they prohibiting having a withdrawal to our wallet with the use of the gambling platform else they are going to give a warning to your centralized wallet and possible close your account because of having a suspicious activity but on the part of the exchange they are allowing this but to that large amount still there are a lot of questions and verifications needed to make a withdrawal which is feeling bad about and not fair to our part too.

wouldn't it be better to have all the list of countries that don't tax gambling winnings? also, it is surprising that the United Kingdom doesn't tax gambling winnings knowing how heavy they regulate gambling over there I would assume they would tax gambling winnings.

OP could be part of bitedge team or something like that. this isn't the first time OP posted a link from the website and claims that he is the author of the article on that website but that doesn't prove he is the actual author of the article. I guess the only way to know is if bitedge confirms it or OP provide proof that he is the author of the article.

Some countries doesn't regulate the taxation in a gambling platform that well so it always depends on your location.

We all know that some countries are prohibiting all forms of gambling, online or physical, fiat or crypto, it doesn't matter as long as there will be no gambling happens.

So it is much better if you will use a licensed gambling platform and it is okay even if you need to pay for taxes with your winnings so that you can continue playing with it.

Taxes are normal and it is needed for the country's economic situation.

So far, when I play crypto gambling and win some money and transfer it into my wallet, I don't have to pay the tax because the tax in my country is from what we got from a job that we did in real life. Besides that, when I sell at the exchange or local sellers, I only need to pay the fee for them, and although I pay the taxes, the taxes are not too big, so I don't mind paying the taxes. But I guess my government doesn't apply taxes from people who play gambling, but the government applied the taxes for people who can make money from their job.

I've never heard of anybody getting in trouble for not paying taxes on their gambling winnings. It is not something that will get you in trouble if you are in good standing with the IRS or whatever similar agency is in your country because you can just keep it a secret and they won't even know that you owe them money.

Yeah you are right, as far as I know gambling winnings are exempted to taxes. Maybe if you are the owner of the gambling house then you need to start worrying about paying taxes and most of the time, there isn't a lot of money to win in the casino to be eligible for something tax related.

i visit the blog of the op and i found out that there are really countries where gambling is taxed . maybe you never heard one yet because you are not from those country  .

it will get you in trouble if your from a country where gambling is taxed  and you dont pay your taxed promptly and the penalty for that it is verry serious  so before its too late and before we play a gambling lets be familiarize with the rules of our country first .

Yes, you need to pay taxes for your cryptocurrency gambling winnings too and it depends on the region. For example you are supposed to pay huge amount as tax if you are from US that is why most of the gambling sites don't allow US customers to play there.

And if you don't want to pay and not going to cash out your cryptos into fiat then you can completely avoid taxes too.

Which is definitely true, in fact living in a country where winning in any such gambling site without requiring a winner to pay for a tax is such a previlege of enjoying what you have got from your gambling activity. But at some point, there are other countries which was acquiring for a tax payed by the winner especially if the gambling site or gambling institution was controlled or manage by the government itself.

My country is not listed here, but I think that this question is also related to where and with what currency you're playing, no? For instance, if you're playing with Bitcoin and there are no taxes on cryptos in your country, then it would be difficult to pay taxes for such winnings (in case the winnings are taxed). So there's a difference between fiat and cryptos (potentially), and I also think there can be a difference between rules for physical casinos and for online gambling. So perhaps the topic is more subtle, but I might be wrong.

Taxation is the major source of income for every country. This is the reason why taxation is much important for a government with all forms of businesses. Countries that are against gambling doesn't need to worry about it. In my country even on lucky draw- lottery winning people need to pay 15% as tax and the rest can be enjoyed by the winner. Same as this different countries will have their own gambling taxation policy.

Yes, I've said that if your country tells you're exempted or not. But knowing if someone can do it for you, actually there are services that can be offered to you.
That in your behalf, they will be the one that shall file it for you and declare. You're still the one that's involved but they're the only one that will work on it if you've got no time doing it.

I was bit skeptical or still in doubt about casinos that been owned by government but it does really exist.
Just like this one:
Over 25 land-based casinos are active in Ontario, and these range from privately-owned entities to charitable locations run by the government. Source (https://www.gamblingsites.org/laws/canada/)

So in that case, they would really be charging up themselves with tax too? hehe

You already used to with the taxation process in each and every sector in your location. But it is not the same in my area too. Here, I am from Bangladesh and I'm not used to with the taxation process as I also pay for many things. But all the sectors are not same here and not imposed the tax by government. So, other countries scenario is almost same or slightly can be changed. So it varies according to the location.

If you play on the fiat gambling site, maybe you will need to pay the taxes.
But if you play crypto gambling games, maybe you do not need to pay the taxes because as long as you keep the winning on your wallet, the government will not know about your winning.
I do not know much about paying the taxes for every winning on the gambling games, but I only know about paying the taxes monthly and paying taxes because we have an income. But the taxes are not applied to people who have a minimum income for that country.

While this is true in some countries, we need to be very careful with tax laws. Sure as long as we are not realising any gains in FIAT currency we should be fine. But once we convert some of our coins into FIAT cash again we need to pay taxes. If we don't declare the winnings then we could bf liable in the future. At the moment it might be hard for the government to track our crypto winnings but we shouldn't raise any suspicions.

So it is better if we still hold the coin and not converting the coin into fiat in a big amount because that can make the government tracking our bank account.
Maybe if we want to convert from the coin into fiat, we can do it step by step, so the bank will not be suspicious if our account receives the money in a big amount.
We are lucky to have a crypto gambling site because it can help us play gambling without the government knows what we did with our funds.
We still pay the taxes as usual and are not changing, and we can still play gambling using crypto.

It could be can tracking by the government if the gambling site required the user for KYC, they had regulation to ask a provider if find suspicious activity.

If using an anonymous wallet and mixer government will be hard to track where the funds come or if want to transfer crypto do not directly from the exchange to the gambling wallet.

This is the advantage of playing in casinos that don't require KYC. At least, you are safe that you will not be reported to your government. Unless, you are a high roller, and that usually entails the submission of KYC to the casino. Because normally, crypto casinos will only ask KYC if you are playing high stakes and withdrawing large amount of money. Otherwise, if you are just a small time gambler, better stick to casinos that don't ask for identity verification.

We don't have that kind of regulation, because Crypto gambling here in our country is not yet tapped by the government for taxes, and there is no study yet by the government they don't even have ideas on how many of our countrymen are involved in gambling, Crypto in our region is just a small community, but Cryptocurrency technology is welcome to our country.

Agreed,  tax

- Usually, identity verification at crypto casinos only applies to those who withdraw too much money because this action is considered unusual and requires someone who owns the confirmation account to avoid future loss and compensation, tax issues have probably been handled by the creators of the casino, the player will not be affected and there is no need to pay taxes. I think this is quite reasonable when most of the time we spend in crypto casinos is just failures, with no money and nothing to withdraw to the bank, paying taxes is impossible.

Most of the gamblers doesn't want any KYC's because it is so very hard for them to process it and sometimes they just need the money as soon as possible. And also I think some of the casino players are minors that don't have any ID Card. And it is tru that it is questionable if there is a unusual activity in your account. In my country, crypto doesn't have any taxes even if it is big or small trasactions or earnings. And that's why the government is always not supported and not a friendly-crypto companies. They believe that those earnings have came from some bad cash.

Most of the time if your winnings are small you do not have to worry about things like taxes but when it comes to big wins that is critical, where I live the taxes can vary wildly from state to state, there are states which do not force you to pay any taxes on your gambling wins which is great but there are other states in which you need to pay up to 30% on taxes and that is very high.

The best way to be completely sure about what you are doing is to consult a tax lawyer or an accountant since you want to pay as little on taxes as possible after getting that lucky.

Well, perhaps it depends on which country did you live. Since crypto is untaxable, it is also the same because you can increase your anonymity if this is necessary to cover your track and will perhaps unmask your real identity. But perhaps if you live in a country that has fully strict when it comes to the crypto-like country of the USA, there could be a tax. However, you are right, if you will hit the mega jackpot, it is the time you will pay the tax because that is a big amount and you need to declare that you have won on the gambling or if not, you will becomes suspected as a money launderer.

Even if I want to, our country does not have rules or tax filling form about online gambling, our income tax does not include online gambling yet, I don't want to declare it now, since they are not asking and do not have regulation on it, maybe in the future when they have an entry for gambling winnings, since I play in Crypto type of online gambling our government does not have a regulation yet on taxing people who are involved in Cryptocurrency too.

Do you want to tell me that there are actually countries where you can claim "Capital losses" on the money that you have lost on a casino? In my country you can only claim for your business expenses or rather for a portion of that. I reckon the "Capital losses" are only applicable to professional gamblers.. right? (Professional Poker players or Streamers?)

Also, here we pay Capital Gains or any gains.. no matter how you get. Is the "Crypto gambling taxes" on top of the normal Capital gains taxes (additional tax) or do you only pay one of the two? (Is this a Sin tax, tobacco and Alcohol ) ?

I guess there is a minimum amount that you can able to report your gambling winning in your country, if that is a small amount, I guess don't bother them because they are busy compiling all files of big taxes. That is fine if a small amount, but if those worth billions of dollars, it will I guess good if you claiming casino winnings on your taxes.

Dont tell me if you always won thousands of dollar every day, if not, then, don't bother yourself about the tax, and doesn’t mean that if you consistently win and fail to report your winnings the tax office wouldn’t notice them.

I'm playing in an online gambling casino and I'm not paying taxes because my government is not asking me to do pay, and I don't consider gambling as my income, because I lose a lot in gambling I rarely win in gambling, once they implement and included winning in gambling, maybe just then I will think of paying.

As crypto users, we choose to use crypto or fiat to gamble, but most of us will still use crypto to gamble because that can make us hide our financial activity in the gambling games.
We have many gambling sites that do not require us to fill KYC, which will help us play gambling safety without the government can track us.
We can also use an anonymous wallet and mixes, as you said, to prevent the tracking.
If somehow we win, we can send the win money to our wallets without anyone knows, and we can only withdraw small money for our daily needs.

In my country the crypto thingy is still in grey area, not many laws as simply because policy makers don't even know what crypto really is yet fully ;D let alone putting taxes on its trading or gambling revenues :D but slowly we are going there, recent developments have shown we are progressing in this crypto sector and soon there will be taxation on crypto tradd revenue and then might be they will come with laws with relevance to gambling. It will be a huge benefit for the government if they can tax on crypto revenues :)

If gambling is legal in your country, then maybe you are trying to avoid taxes just because you are playing on crypto online site. Of course if gambling is legal, then the government will think about how they make money from the winning of the players and taxes are the choice. I think maybe the government will apply it to online site as well like in the case of licensed exchange.

Gambling in my country is illegal and we may not need to evade taxes. It is an offense for us to gamble offline and online gambling site are an option if we wish to do so. But as long as the government can track the site, they will block it too.

It varies from country to country but in most countries you will get away with the tax because the authorities will never trace you if you gamble online with crypto.
In simple words if you cash out your winnings in local fiat, then you may have to pay tax only on that amount.

You have to pay when your government ask you to pay or you will face penalty, our country never ask us about paying taxes with our winnings, only our income and I don't consider my winnings in gambling a form of income considering that I loss a lot of money too, if you compare it to my winnings, I hope our government will not implement this.

Not all countries legalize gambling, so if your country legalizes gambling, of course you must pay taxes on the profits you make. Because there are
rules related to this matter, usually it is included in the income tax. My advice is don't shy away from paying taxes if you don't want to get into trouble
with the law, for the calculation of taxes to be paid all countries have different amounts. Please use the search engine from google to help you further.
Unless your country prohibits gambling, there is no need to pay taxes. Because from the beginning it was prohibited to carry out gambling activities.

The beauty of using crypto into online gambling.

You only need to pay taxes pnce you are cashing out and exchanging your crypto into  fiat, but from crypto gambling house to your
crypto wallet, there are no extra taxes aside from the gas fee that you need to pay from the casino house. It's part of the  transaction
process.

This is why crypto gambling did really get some big recognition on this part because you wont really be taxed as long you dont really convert it to fiat.

You can still play without worrying if you do get taxed unless if your country is really strict then you would really be needing to declare those earnings that you do had.

We know that every country does have different set of laws or the extent on a specific area and lucky if there are still who are freely able to cherish those free times.

That will depend on your country's regulations because each country will use a different thing for the gambling business. If your country prohibits people from playing gambling, but you are still playing gambling using VPN, I do not think you need to pay the taxes because your government will not know that you are playing gambling unless you withdraw the money in a large amount. If so, that can make your bank suspicious and investigate your account, and they will ask you where the money comes from.

Lucky are those countries that don't regulate taxation. In our country, even a small lottery is being taxed. Our government is always looking for ways to collect tax and they will surely let gambling escape being taxed. They legalize gambling for the benefit of getting taxes.

It's quite hard to withdraw money from banks when it comes in gambling profit sometimes even if it comes in trading, so make sure to only withdraw minimal amount especially if the country is not yet aware that crypto exist since even banks don't know what crypto is and become too suspicious whenever your bank account received suddenly money. The taxes will follow once the money is converted into fiat so it's fine even there's no tax in winnings.

I hate it when the Banks interrogated me about my own money, they will ask you questions that already been asked before just to make sure that you're telling them the truth about your money source. Banks are tricky that's why if you have a huge amount of money in your wallet, you should know how to withdraw them separately once you withdraw them at once things will not look good especially when you don't have any documents to show them.

Here in India we are facing an even bigger issue. Gambling (both physical and online versions) are not legal here. So if someone wins a big amount, that can't be credited directly to the bank account. Some of my friends have faced the issue. They had to spent a lot of time and money in consulting tax experts and finally resolved the issue by showing the amount as gift received from non-family member. Still, this method is not 100% safe, as the tax authority can ask for additional clarification at any point.

If you are paying taxes on your winnings then either small or big, comply with the laws because it makes no sense saving small taxes and getting into trouble later despite paying the bigger taxes when winning big. I don't think anyone has ever won billions of dollars though from any crypto casino, but yeah I get the point.

If you actually win such a huge amount you will be most likely asked for KYC and then you are obviously forced to pay taxes because the casino might report your winnings to the legal departments.

This is the best option. If you are liable to pay taxes, just pay it. Pay your due properly and promptly and you will not be worrying about it anytime. If you will try to get away from your tax responsibilities, you are to blame if the time will come when the IRS or your country's tax department will come after you, prosecute you, or even put you to jail. That is not worth it.

banned gambling is worst than allowed gambling but you can get taxed because you can choose to pay tax and play gambling . its risky playing gambling if if its not legal but if its not legal why will your friends got charge by a tax ? smells fishy huh .
where would the amount go if not in banks , was it in a crypto wallets but why would they find out when crypto transactions are anonymous and it was thier advantage if the money wont go in a bank because bank will question you and will charge you big

This is definitely an issue, most governments still ignore bitcoin which means that even a citizen that wants to pay his taxes for the most part has no way to do it, it is better to not bring attention to yourself by asking how to do it especially if the amount is small.

But in the case the profits you have had are significant then it is time to consult with a lawyer about how to pay them because even if cryptocurrencies are not specifically stated in the tax code there could still be ways in which you could pay the taxes you owe to the government.

If you inform the government about your winnings you'll probably always have to pay taxes.

Why bother with it if they cannot find out about it unless you tell them? (I am assuming that you are not using Coinbase wallet because these mf'ers would probably report your suspicious outgoing tx's to the IRS)

This will depend on which country they live in, I guess the most strict countries that have also very strict on implementing to pay tax is in the US.
But if you're using cryptocurrency and not using the custodial wallet, that will I guess fine but if so, it is better to file and report your tax claim.

However, that is not mandatory or traceable if you know how it works. You can completely avoid taxes if you want because the government nothing have to do with the cryptocurrency since isn't regulated. So I guess, that's not mandatory at all and you nothing to worry about.

Not exactly. It's not how it works. What if you got that winnings on a regulated company? The government won't bother with your winnings. Taxes are paid by the companies and site owners if regulated and not to their users.

For crypto, they also won't bother as it out of their jurisdiction especially when there are no clear regulations about crypto in that country. It's now with the crypto exchange how they will put terms regarding receiving money from a gambling site.

Correct. This would matter always on the rules or laws that had been set and also varying on the situation because as mentioned about regulated company where those winning tax had already been paid
which simply shows that there are exclusions just because it had been already done by the operator or handler of such service neither if its talking about gambling or any other out there.
Also, why you would really be needing to declare and go to the government and do tell that you do need to pay up tax just because you do win in crypto.It would really be
just ending up into their own pockets.

OP, can you explain this?
Or you are part of the team and you are the content writer of the website?
If yes, at least you need to link your site and gives the link in your profile. But you don't do it.
So, I really doubt that it is you.

Well, about tax, in my country itself, gambling is something illegal and of course, there will be no tax for it. Sometimes, we also feel difficult to withdraw the rewards from gambling sites into our local exchanges. Sometimes, it needs more time to the exchange to process and also investigate the transaction.

And there's also another ban for cryptocurrencies. This means that two things, gambling, and cryptos are banned there.
That's a suspicious reason if it's going to be a gift from someone. Tax staff would really suspect and find it odd if you say so.

The OP hasn't been online for a week now (three days after this thread was created) - I really have my doubts that the OP is who they say they are (they probably started the thread in the hopes of gaining some merits then farming the merits on to their main account)

Unless you are living in a country with no income taxes you still need to pay depending on where you live, however as people have said before if the amount you have won is small do not even bother, this is similar to what happens when a kid does some odd jobs during the summer to buy a video game or a bicycle, no one is going after him even if he generated some income.

But if the wins are big and your name figures out somewhere then the government is going to find out and come knocking at your door, so in that instance it is better to consult a professional and pay the required taxes.

Big or not, it depends on the law per country.

For example, in a lottery (fiat), there are countries that charge tax when someone hit the jackpot. Recently if I'm not mistaken, maybe last January or February, there is a thread here that someone won a big jackpot on the lottery but the winner is charged with a tax. That was a usual regulation. And here in our country, lottery winners are tax-free regardless of how much they won.

Playing in a crypto-gambling site, there is no worry that we will pay tax because almost all gambling sites related to crypto aren't under the jurisdiction of any countries. The worst-case scenario however is, if that country totally bans gambling in their country whether physical or online, not just tax but the user involve will face some charges accordance with their law.

The location of the casino itself is completely irrelevant when it comes to paying your taxes, what matters is where are you located and what is your citizenship, if the country in which you are located currently does not charge any tax on your gambling winnings then you are in good luck but as far as I know you still need to declare that you got those winnings.

But if the country in which you live actually charges taxes over your gambling income then you have no other choice but to declare those winnings and pay those taxes, and if those winnings were in a cryptocurrency casino this can be even more complex because you may end up having to pay capital gains taxes as well.

Hard to believe on which a country doesnt really have any tax because we know that when it comes to development and progress then this tax plays a vital role
which means to believe that citizens wont really be needing to pay up something.

Back on topic about paying up tax with crypto gambling winnings then for sure this will basically focused if those funds had been converted to fiat.

Ive seen that most people doesnt have a problem with that because crypto isnt still regulated into their places.Therefore, they are still on the safe side.

The problem isn't about doing like that small job and showing it that way, but it's like when it's not even allowed in your country (illegal let's say) but you still do it, they'll definitely get you and make you either pay a hefty sum to save yourselves from their trap or get trapped. It's about how you manage to take your money out of it.


Doesn't really matter as even if the name doesn't flash anywhere, the gambling companies that abide by a state's rules are definitely going to give the details of all the trades/deals/bets they go through. So you'll be caught there. If you try hiding it with crypto, then too you'll eventually need to pay taxes on your capital gains through crypto. :)

All countries have taxes in one way or another, but the kind of taxes you need to pay vary from country to country, there are some countries which have taxes on your gambling earnings and you will need to pay them.

But there are also countries in which this is not the case and you are free to keep your gambling profits and do whatever you want with them, and there are countries like where I live in which the tax laws vary from state to state and there are places where you do not need to pay taxes and there are other states in which you need to do it.

^ Most of the best gambling platforms would actually tax you the onset of claiming your prize. So you don’t need to worry about it. But some don’t. Probably, if you have your gains higher than the considered bracket, that’s the only time you will get taxed. I just hope that there is a way to hide your winnings. But no worries about it, being taxed with gains is not a big thing. Just comply and play your thing. Taxation can also help you soon anyway. You just had to master the art of cash flow and it won’t be a butt hurting situation for you. And also, I am familiar with your name.
Is it really you? How can we tell? We are just concerned because we respect you (if you are genuinely you, though)

I used to hate taxes as it gets a big chunk of your profit. Like why?
Especially when you worked hard for it, but now I realized how rewarding paying tax is. I was able to access finance by providing them proof of my taxes, seriously.

It also applies to gambling, but I wouldn’t recommend gamblers to access finance to gamble. You’ll just add fire to the risks you are taking. And we should just enjoy gambling without being serious. It would take us to a different level of despair if we did. Going back, when I was gambling, the platform automatically taxes me if I get big wins. But most of the time it’s nontaxable since I only place small bets.

Our government have no rules on our gambling winnings, they are not asking it, it's up to the individual if they want to pay or not, I'm not a big gambler and I always lose and seldom wins I don't think that it's ok to pay something that you earn and you could or will lose later, it's when I make a profit that I am willing to pay my taxes.

That is good news because if a gambler in your country wins, they can free not pay the tax. But how about the monthly tax? Did they need to pay additional taxes that related to their winning in gambling?

But out of that, the gambler can enjoy winning without thinking about the taxes and celebrating it with their family or friends.

Something that you do earn aside from your own business or even with your own work then i dont see that they would really be including or make it mandatory when
it comes to tax and its up to someone if they would really be that honest on paying up tax even if they arent required to do so but i doubt that majority
will just really ignore but if its mandated then you wont really have any options but to deal with it.

Then that makes those volunteer payers are good and responsible gamblers if they do so.
Well, in taxing, as long as you've gained it that's when the taxation starts and it doesn't matter whether you lose it.
CMIIW.

It is only fair that you pay a portion of tax of your gambling winnings as tax, be it crypto or fiat. Although I can tell that most of us in here are fond of gambling in crypto because it's convenient, and not a lot of countries imposed regulations so practically you don't have to pay for taxes at all. Although of course as crypto is becoming more and more accepted by the planet, this will change in the future. So expect that in the future, gambling winnings may receive deduction for taxation and alike.

Yeah, they will not report it if they have additional income when paying the tax. Sometimes, a worker wants to reduce his tax by decreasing the amount of income or editing it so he does not have to pay a high fee. Usually, that is happening in a medium and big company to avoid paying the high fee and that is not a secret anymore. And for their worker, they will edit the data that will report to the tax government to reduce the tax amount every month or year.

Good guide, but for anyone who is playing with hundreds of thousands of dollars or more you should probably speak to your tax accountant.

For most jurisdictions AFAIK though the tax that is going to be incurred will be CGT that you accrue.

Perhaps when you deposited, BTC was one price, and when you cashed out to fiat, BTC had risen. In that case, even though there is no gambling tax per se on your winnings, the fluctuations of BTC must be accounted for and likely reported to your local tax agency.

Be very careful out there. I reckon we'll see a mass crackdown on taxable crypto transactions in the coming years given the size of this year's bull market.

So does that mean that any prior transactions before any law about crypto taxes were passed out would also get affected? Isn't that kind of stupid? Plus afaik crypto transactions should be free from taxes or the taxes itself should be included already on the amount spent by the user in the casino (imo anw, I don't know much about taxes). It's automatic and the taxes would be on the hands of the casino themselves, not the people so it's much easier to handle it.

I think the crypto transaction before the law applies will not be affected but will depend on how the government will regulate it. We do not know how the government will apply that tax because every government will have its way to manage and apply the tax. But it sounds funny if the government wants to apply the tax from crypto while they do not accept crypto, isn't that mean the government wants to make money from people, but they do not admit it?

It will make sense if the government wants to apply the tax for every business, including in the casino, because they want to get an income. Perhaps, the regulations will still apply for the offline casino while online casino needs to research more before the government accepts crypto.

There's no issue with taxing players in our country because our government do not care or not aware of the numbers of people playing in online gambling casinos, so we have no form asking us to pay taxes, lucky for me I don't need to bother paying even if I want to, I prefer paying taxes coming from profit or my income but I don't consider gambling as profit-driven as I'm also losing a lot of money also.

If you are playing in a casino that is in a different jurisdiction than the one in which you are living in then most likely they are not going to retain the tax that you need to pay and they are going to leave that responsibility on your shoulders, they do this because it is easier for them to do this instead of having to research the law in hundreds of different jurisdictions, they can just give you whatever money you won in full and let you deal with that problem by yourself.

However if the money that you are earning is kind of small then there is not too much of a point in trying to pay your taxes because the government is not going to care that you're not paying 10 dollars in taxes, but if you won a decent prize then you have no option but to pay what you owe to the government.

This is not correct everywhere. So jurisdiction tax the volume that you play instead of winnings or losses. The reason is that if they tax the winnings it is tough to explain why players should not be able to declare their losses as well. That is a pretty smart way to pay taxes. As you say those paying tax where they think it is due (volunteers more or less) although there is no clear legislation may make them "responsible" player in terms of society, but usually legislation has to be in place in my opinion. There are enough taxes anyway so why pay tax for something that isn't even addresses by the law?

My country also behaves the same. The government does not care about cryptocurrency at all. The only regulation is that nobody is allowed to use bitcoin or any cryptocurrency as a payment method. You will go to jail if you go against the rule. It means that you can do anything you want with cryptocurrency as long as you do not involve in any serious crime.

Even if there is a tax related to gambling, it is effortless to find the secure way to bypass the authorities. Long live Bitcoin and its pseudo-anonymous system. In addition, my country also prohibit gambling, lol

Each country does have its own rules and regulation and this will differ on each places globally.It might be prohibited into your place but on the other side it could be heavily adopted or available.

When it comes to taxation then i dont have any doubts that each country would implement because this had been always a part for countries progress and development.

It is just they do might differ on the scope on where these taxes for it to be asked or obliged for you to pay on but if it isnt required then why would obliged yourself.?

There are countries that addresses that every gain is taxable by law. Just like those that I've been always hearing in the news about those folks who have won loterry, some of them have tax exception but most of them should pay the tax inclusion with what they've won.
That makes a gross minus the tax and then the net amount for their wins. I'm not expert in tax but if someone who's into gambling and isn't sure about taxation of it and wants to pay voluntarily or declare it, should consult a tax expert.

What countries? I don't think there's a country that imposed "every gain" is taxable. What more for low earners? Correct me on this if wrong.

Crypto winnings are unregulated. There shouldn't be any tax. The tax part will be on our cashout where our winnings will be sent first to a crypto exchanger then have it convert to cash. That exchange is regulated so they are the ones paying tax. The reason why we see their rates are low or having a crazy cashout to fiat fees.

Not every gains ara taxable. Probably a gambler will add all his winnings and losses during a year period to calculate the liquid profit or loss. The tax is paid only over the liquid profit during this period.
In case of losses surpassing winnings there won't be any taxes to be paid. Anyway I doubt a considerable percentage of crypto gamblers are taking these taxes seriously, and in my personal opinion such taxes are really ridiculous, because it's already hard to make profit from gambling and those who finally achieve it will have to share their profit with their governments.

At this point in time, my country has no rules or regulations about Crypto gambling winnings since they are not asking and there's no form to fill up I cannot declare it, and even if they do I don't think it's fair for me to declare it as it will incriminate me, I have not won a big amount in gambling and even if I do win it's a small amount and will eventually lose it if my country finally implements it I will just cross the bridge when I get there.

If many gamblers know about that, they will move to your country and live there because they do not have to pay the taxes or pay anything related to gambling. That will be good news for them as they can play gambling freely and if they win the money, they do not have to report it to your government. But if gambling is related to the crypto while the government does not know anything about crypto, that will be still good news to the gambler because the government will not ask for the taxes.

Paying tax came from the amount that you have win in gambling i guess will be a responsible if the gambling establishments or gambling firm where you have win was accredited or being legally operated by the permit of the government but there are are some gambling establishments which are not properly coordinated with the government. So, omce you have win in these type of gambling firm then paying tax after you win wasn't required.

Exactly and yes do pay tax.
And based on the calibrated tax code globally, cryptocurrency holders must pay asset taxes. There is a designated code for cryptocurrency. Every transaction has to be tracked and also secured to avoid any penalties and possible lawsuits from tax evasions.

But you do not need to worry, because you’re only gonna be taxed with your gains or profits, not anytime you transact with cryptocurrencies. So if I were you, I would simply comply and enjoy my winnings, give a chunk to the government because that is what they are.

I have been gambling for a long time, both in online and real / home casinos, there are no strict rules regarding taxation that are imposed and must be paid.

I think the gambling tax that applies country-dependent laws such as the US etc., however, I don't know exactly how much tax is imposed in that superpower, what is clear is that my country has no fixed rules regarding taxation.

However, I've seen here about the gambling tax discussion, if I'm not mistaken as below.
Topic: U.S. Taxes on Bitcoin Gambling (https://bitcointalk.org/index.php?topic=1780916.0)

As others said before you cannot say that per se. Taxes are treated very different across jurisdictions for any sort of tax, including taxes on gambling. When crypto is involved there might even be several taxes as it may be deemed a "gain" realized on asset appreciation as well once you place cryptocurrencies to bet on something, then if you win it might trigger the gambling tax.

Not an easy topic I guarantee guys!  ;)

National legislation in this area may be country-specific.  

In some countries, gambling organizers act as tax agents, withholding and remitting taxes on player's income to the budget.  In some countries, the player must independently declare their income and file a special tax return with the tax office.  There is also a specificity associated with the turnover of cryptocurrencies.  

Different countries have different positions regarding the status of cryptocurrencies.  

Some believe that cryptocurrency is property, some that cryptocurrencies are financial assets, and some classify cryptocurrency as a means of payment.

In some countries, cryptocurrencies are prohibited.

I guess no matter where you are when you win gambling you should pay a little win for taxes...
but of course the government must impose a winnings tax limit, for example only those who win over $ 5k are required to pay taxes, winnings under $ 5k don't have to pay taxes.

Yes that's fine but the problem is whether or not gambling itself is legal, because we know that not all countries legalize gambling and with that, how they will comply with taxes. So I am not sure about winning in gambling that should be set aside to pay winnings tax, and this is the crypto world which I think regulations like this in crypto gambling are still difficult to implement but if it is a site that is registered as legal, then tax cuts can be applied in the system.

You need to be honest in order for you to pay taxes on all your gambling winnings.  Most people who play gambling using cryptocurrencies online do not give any taxes because they are not being tracked by government authority.  I know many people who used crypto to play gamble so that their money cant be traced.  I wish people could be more honest and would be more willing to pay the taxes but unfortunately the truth is otherwise.

I agree to you. If somebody earns in crypto, that's a gain, if somebody wins in gambling, that's a gain and both are taxable. It's not really an easy topic.
But to make it more understand, one should consult a taxing officer for confusing terms in your country because it varies from country to country.

Very very different from jurisdiction to jurisdiction! Even in Europe there are huge differences from country to country. There are even countries where there are differences within the countries because of their federal structure.

The only way is to attend a good tax advisor. Emphasis is put on GOOD tax advisor. They are not all the same and only few of them are interested in gambling and finding good solutions for the tax payer. Best investment to get a good tax advisor is TIME and MONEY. Don't just pick the first one around the corner.

I never raised that question. Because, I am familiar with all taxation rules of my country. Basically I never need to pay any tax until I do not cash out of casino. Unfortunately I never got chances to stay in profits to get into a situation of cashing out :o and moreover even I will be cashing out and if that funds hit my bank account then I need to pay tax if my total income on that particular financial year qualify to limit of taxation slabs. Even I am playing with a regulated casino, I will never opt to cash out to my bank accounts as I always need some balance in my gambling account so that I may gamble instantly.

Because in my country gambling is prohibited, so I play using a VPN and I don't have to pay taxes for the winnings I get. So the conclusion depends
on the existing regulations in our respective countries, and usually rarely impose taxes for the winnings that we get. Because the government also
knows that there are more gamblers who lose than win. So taxes are applied to casinos usually.

In Spain there seems to be quite a bit of an exception for gaming income, particularly from "La Loteria". It is frequently used as a method to avoid taxes:  Someone will buy a winning ticket of, let´s say, 1 million and will pay for it 1.3 million. Obviously that means that the money originally was undeclared and now is fully legal and not subject to taxes. There are cases in which some people have claimed to have won the lottery 6 times in a year  ;D

Hopefully you won't get any problem in the long term because sometimes hiding can bite you back. In my country, I don't know much about taxes on winnings since back then I won my bets and games with no deductions except for tips so I don't have any experience with taxes. Check your tax laws to see if gambling is a taxed one.

Thank you my friend for reminding me, because like you said it was quite risky that I did. I also hope that there will be no problems in the future,
therefore I am not too big to deposit on gambling platforms. Then I will also make an immediate withdrawal if I win playing gambling. Just in case
I get into trouble later on, will not suffer too big a loss.

Most of the time, gambling winnings arent taxed and you can anytime pull off those funds and can be converted to fiat money if you wanted too but it will vary if you do
win big time then that would really be surely raises up some flag if the bank will notice it out.It might not indirectly talking about tax but for sure
there would be questions asked about on whats the source of those funds.

What you are saying makes perfect sense, if I am lucky to win a big. When going to cashout to a bank account, there will definitely be a question of
sources of income. I didn't think that far before, because until now I have never won in large numbers when playing gambling :D. If caught
the source of income from gambling, my funds can be frozen or rejected :'(. Maybe I will cashout gradually, so as not to be suspected. Or do you have
any other good ideas?

I would bet that you won't get in trouble for gambling and not paying taxes, I mean if I didn't get in trouble then you probably won't. Or you could not gamble anymore, you don't have to worry about if there is tax or nah and you will be more happier.

It depends on what country you belong to. In other countries such as the US, the tax laws are implemented so strictly that evading tax should be avoided if you don't want the IRS come knocking at your door at the most unexpected time. You better be honest and settle all your tax responsibilities. It is not advisable to court risk and trouble for an amount not so big.

Some countries on the other hand are so poor in implementing tax laws and collection. If you belong to one of them you could get away from it.

Well, you might've misunderstood what I said, the not paying taxes part was on the gambling wins and not the evading taxes at all. Poor countries have a clever way of implementing taxes, they use lottery and most of the products that we buy already comes with a tax so I guess I can't really avoid taxes.

Maybe you can send the win money to the other wallets, such as private wallets or wallets on the exchanges, and you can start to withdraw gradually. At least, that is what I did so far. I do not withdraw thousands of dollars at once, and if I want to withdraw thousands of dollars, I will divide it into two or three parts and withdraw it three times. That will not sound the bank's alarms because that will look like a normal transaction.

I wouldn't rely on that if I were you. At some point you want to cash out the money and financial authorities may scrutinize your account even in the future. What do you answer them if they ask you where the money comes from? Even if it's from another person because you sold from an exchange, they could ask you how you are related to that person.

You are playing a dangerous game my friend!

Gambling winnings are considered income, therefore they are taxable. Except when the gambling winning is declared tax-free, which is seldom the case, all else shall be declared on the tax return. If you have made money by gambling, you are obliged to report it and pay your tax dues. Failing to do so even if you are aware of it is tax evasion.

It all depends on different countries' tax laws though.

I find this to be doubtful, there is no specific regulation for crytpocurrencies in many countries around the world but this does not necessarily means those wins are exempted, gambling taxes are for the most part very well regulated so if you happen to live in a jurisdiction in which you do not have to pay taxes on those wins then that is great.

But if that is not the case then you should pay your taxes, there is no point in getting in trouble with the authorities on your country for something that you are doing just to get some fun.

No, I do not think that the financial authorities will do that. But if they do that, I think I will answer that the money comes from other ways. I will give the proof to them and I think they will not be suspicious with that. If that money comes from the exchanges, the financial authorities will search for that exchange and maybe they will ask about that. That will not be a problem for me as I also trade on the exchange to make more money.

We will have our way to withdraw the money, whether that is the money from gambling or the exchanges.

I don't know where you come from but financial authorities usually cannot be cheated on as you are trying to explain it. If there is a single part of your story inconsistent or incoherent you will have a problem. Perhaps you are right and in your country it is not that difficult to present them with a fairytale about the origins of your wealth.

"I decided to write"
- Very wrong ! You should not take merits for someone else's work, it's a hard job to write an article and it takes a lot of research and time.

Other than that , it's really hard to sum up everything in a small post but I do think individual gamblers are already aware of the fact of the condition of their country or state. The issue of taxation is always very serious since you can be jailed or even banned 🚫 if you fail to do all the legal things on time. But most Gambling companies send the money in the wallet which is taken as Investments by my Government so I have not yet reached a point after which it would be taxed. Since, it's not like they are going to tax you for 100-200$. Therefore it's something to worry about only for the whales or the individuals who are investing big.

It’s good if they have winners and they will get the full amount of price but usually in other country like mine there are many rules to follow and deductions to be able to claim the rewatds and those deductions are said to go in taxes.

Gambling wins and rewards have a much bigger taxation but the advantage we have with online gambling is that we do not need to disclose the government that the earnings are from gambling and it is not that hard to set up a online job and provide these earnings as freelance payment and the only problem is you cannot withdraw very large amounts at once to avoid scrutiny.

One of the biggest problem i do have on how to cash out those earnings that i have gained not on gambling though but on investment on altcoins wayback in 2017 bull run.
Where you would boggle up your mind on how to make those profits in cash and i have been making daily withdrawals with minimal amounts that cant really trigger out some
flags which is a bit hassle but if you dont like to have some problems then its better to stick with it.

I hope they will not ask many things so I do not have to cheated them because I do not want to do that. But I think if our wealth comes from the crypto, I guess they will not find it unless we send the money from the third party services to our bank account because that can make them easily know how much our wealth. So far, the financial authorities are not trying to investigate people who won from online gambling, but I do not what will happen in the future. Still, if they found that someone is playing gambling in an offline casino, they will investigate it.

What do you mean by the offline casino? Gambling in physical one?

Sometimes, winnings here are directly withdrawn by cash. If there's a tax involved, that was already deducted by the casino upon cashing it out. No investigation should be made here by the authorities.

Different story if we are talking about illegal gambling place.

Yes, that seems to be it about offline, the physical casino.

For verification, a gambler can ask that to the concierge or any staff before proceeding if he wants to make sure about paying taxes from his winnings.
That won't hurt a lot if it's already deducted and you've won that much by that time.

Yes, that is right. It is the physical casino.

If we won a lot of money, maybe the tax can be 10%-15% from all of the total money we want to withdraw and I think that still a lot of money that we can get. So that will not be a problem for us if we're going to cash out the money.

But no matter what it is, if that money is sent into our bank account and that is a lot of money, the authorities can ask us and investigate where the money comes from. If that money comes from a gambling place while gambling is prohibited in our country, they can get the money and investigate further.

That's still a lot of money honestly if you're winning big in physical or online casinos. But the tax varies from the jurisdiction of the country you're living in about gambling tax.

AFAIK, they're stricter if the money comes from gambling or that was just an overheard statement and banks won't care if it's coming from a direct deposit from a casino.

As long as we still get the biggest money from the withdrawal, I think that is enough for us because we do not use too big money to gamble and win for some money. But that will be different if we use big money to gamble, and we already have an experience of losing that money, but after a while, we can win so much money. Maybe that still a big winning for us. But we need to check on how big the taxes will apply to our win money.

Stricter or not, that will depend on the government regulations on each country. Maybe in some country that allows gambling, they will use a strict regulation while in the other country which does not have regulations for people who play online gambling do not use tax for them.

If you want to avoid taxes you need to prove to authorities your losses surpassed the winnings during the yearly period. They can't tax a gambler if he has been losing more than winning, because actually there isn't any profit to be taxed. This way very few gamblers are taxed from their gambling activity and most people shouldn't worry about it.
Authorities make much more income taxing casinos than the gamblers themselves. What ironically is also valid for countries where gambling is illegal.

I guess that it is not easy to avoid taxes as they will search from your account and that is easy for the authorities to find from where you got that money. If they see you get the money from gambling while in your country, gambling is allowed, they will ask you to pay some money for the taxes. I do not know if losing gamblers are also taxed or not because that will depend on their regulation. The gambling industry paying much money to the government and that can be the income for the country.

Why would people even avoid paying taxes anyway? If you made good money, just pay them their cut and get on with it. I know it sucks to pay the government but it is still better than going to jail. Instead of worrying about it everyday and having bad dreams at about it night, paying them makes a lot more sense. If you decided not to pay however, you should have a very good plan. It must be very good because the IRS is better than you think so I've heard.

@OP, I didn't get a hold of a few things that I'd like to openly ask here:

What if a gambler cheats the tax system by saying that he lost more and his tax amount doesn't come in the slab provided so he won't pay anything?

What to do when the price of the crypto we play with (let's say dogecoin) rises over 500-1000% during that one year itself and you've also made more than 100x your bankroll by gambling? How will you deal with it?

What if a gambler decides to keep his crypto or just sell it and keep USDT with him or sell some stake and keep both, but doesn't disclose anything to their tax man? Because online casinos which are crypto based, hardly ask for SSN numbers even at the time of verification I guess. So how will these organisations be able to catch the gambler here?

Yes, you even have no choice if it's mandatory. As long as you're getting those huge wins, it won't hurt you if there are some deductions.

I know that there really are countries that are not strict because they're into the gambling industry but I guess they're only few.

I'm saying regards losing gamblers specifically. Lack of knowledge can lead some people to pay taxes even if they shouldn't, that is the case of being in loss and charged by the government to pay gambling taxes. If it happens the person can appeal and show his previous losses. Adding the won prize to the previous losses it's possible to prove the individual lost more than won, so it's not needed to pay anything.
And I really doubt there is any country which enforces a regulation where losing gamblers must pay something.

Most of the time this will particularly talks into those heavily regulated fiat casino where taxes would be imposed but actually this do matter on government regulations and we know that

this will really vary from each country since it does have different sets of laws and regulations when it comes to taxation.So this would really vary.

So as a gambler then you would need to seek out those legal things or about taxation on how wide is the scope is if its included on gambling sector or not but if you cant
find one then this wont really be an issue.

Um, I do not know. Maybe they do not want to pay high taxes or think that all of the money is their money, which does not come from their income. But I agree with you that no matter what it is, we should follow the government rule, and if we need to pay taxes, we should pay it. Maybe we can ask the government to reduce the tax amount because that does not come from our sources of income.

But I do not think that they can win from the government if they appeal and show the losses as the government can still get the money. But that will be different if we won the prizes and have big money from gambling. But it seems not fair for the losing gamblers to pay the taxes because they already lose in gambling and pay the taxes.

This might depend on the country but I don't think we get a tax credit for losing in a casino. Gambling is different from investing. If we sell assets with a loss than we can make this loss counted against future winnings and don't have to pay taxes. But we need to show statements that we actually bought and sold at lower prices for us.

I think profits are only taxable once we convert them back into fiat. So as long as we just hold doge coin or another coin we don't need to pay taxes. This is because we don't gain any fiat money until we sell the coins again to pay the tax balance.

It's true that we may keep our gambling money in crypto if we don't want to be taxed, but one day whenever we go for fiat withdrawal, we'll definitely be taxed. And keeping crypto is also risky because as it's very high currently and has the chances to drop big, the possibility of losing your wins on the losses that the coin (you hold) sees is higher. Keeping track of every win or loss is almost impossible for a gambler, but yeah, they can make a spreadsheet and keep track of each session they play so to know what profits or losses were made during that session.

Actually what I am really saying is, unless you have a very very smart plan, follow the gov rule. If you are sure that you can fool them go for it but don't cry when they catch you. If you aren't sure, just pay it. I am not saying that you should pay your taxes no matter what. I say that you must be very smart about it if you are not going to.

McAfee wasn't paying his taxes too and he made it public for everyone to hear. Now he is in jail. That was dumb. Don't be dumb.

That's quite a confusing situation for me. You won't be taxed if you've lost it already but if you win, you're going to be taxed. Just like example that usually goes, if you lose, then the casino is the one that will take the gain and they'll have their own income tax.
And if you lose as a gambler, you have nothing to worry about because it's out of your worry but if you win such large amounts, you're going to think of it based from the rule of law in your country.

So the tax man wants to sow from my emotional and long losing streak and I make a comeback and in the end want me to make tax returns to them....I will take my chances.

Btw In the event you pay tax on your initial tax and you choose to hodl your coins for several years and your holding goes up 10000X will this be subject to another tax in form of capital gains tax??

As far as i know you are not bound to pay your tax on the losses you make, calculate the capital gains you earn when you gamble and that is how much you need to pay according to the tax percentage of your country.

You do need to pay taxes for holding the coins in cryptocurrency, in the event you withdraw the coins and convert to fiat currency you need to pay the tax as capital gains and how is how i am going on with my business.

That depends on the crypto laws indicated I think? Crypto casinos should have already taxed you for each round you play with them so I don't think there's an issue there. As for it increasing or decreasing in value in the long run, that should be outside of your responsibility since technically it isn't yours, but the governments now. As for coins hodl, as I said, it depends from what laws are about it, though there isn't much laws about crypto tax in the first place anyway.

No, I do not want to fool the government because I know the risk and always follow my gov rule. I am trying to pay the taxes applied to me and I do not mind with that.

But I guess some people are trying not to pay the taxes although they have many sources of income and are wealthy. Sooner or later, they will get caught by the government because they do not pay the taxes.

McAfee was quite the jerk anyway. He was shilling all those coins on Twitter and everybody knew he is getting paid for it. I am sure he didn't declare that income even once.
Where is he in jail now? Spain?

Yeah, he was jailed in Spain... https://www.reuters.com/article/us-spain-usa-mcafee-idUSKBN26R10N

We never hear from him this bull run, maybe because he is still in jail serving his sentence, but even if he will shill, no one will believe in him as he already ruined his reputation.

Yes I remember that article or some article talking about it. I think he is afraid of his extradition to the United States. For good reason I would argue as the sentence he can expect is no joke.

He was extradited after being arrested in Barcelona and as per this article says, he's now close to bankruptcy.
John McAfee close to bankruptcy as he fights crypto fraud charges (https://www.cityam.com/john-mcafee-close-to-bankruptcy-as-he-fights-crypto-fraud-charges/)

Crypto-gambling and gambling in general in some countries are been treated the same way other businesses are treated in those countries gambling in general is considered a business so as such are been taxed. Paying taxes for crypto-gambling winnings shouldn't be strange since gamblers in most countries in the US and other countries still pay tax for their fiat gambling winnings so this shouldn't be an exception nor should it sound strange

I never thought he was still rich anyway. Once that guy started to promote the last BS on Twitter it was obvious he must be damn broke. I have to admit he was entertaining! :D