Are the Big Gambling sites paying taxes?

[maydna]

Gambling site like pd doesn't declare their actual earning, sort of security reason I guess. Paying taxes? tbh it doesn't matter on me wether they pay taxes or not on the country where they operates. As long as they are paying every withdrawal right away regardless the amount, it's fine on me.

Point is there mate as long as they still paying in the right manner maybe I won't also care if they are paying right taxes from their government as I know that they won't or theres no way to track if how much earning they have and its also differ from each countries that they belong,.

Make sense, as long as the companies have set of rules that are not terribly making wrong movement against Government then it will be fine. I think as long as they have physical company then they need to pay it.

i think gambling sites is not paying taxes for government because the site is online and how government will trace their revenue from gambling? even if they can, the sites is not always hosting in their territory so there is not related with them. and if the gambling sites have physical compane, then they are only pay taxes for their office too unless they give the complete assets they have to the government then government will decide to included in the list to pay taxes or not.

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[bitgolden]

Maybe if they want to be recognized as a legal site then they have to pay taxes. If they do not pay taxes it's an illegal gambling site, and illegal means less security.
If gambling sites are created and operated in a country that prohibits gambling, then the site is definitely illegal and certainly will not need to pay taxes.

Gambling sites rather all the sites need to pay tax in order to get licensed by government. All such sites do pay taxes and as far as we are utilizing the facilities like internet and electricity, definitely we all are paying income taxes one way or the other. You cannot run an illegal site very easily. After all, all of our activities are locked.

Well, all the citizens living inside boundaries of a state are supposed to pay tax on their incomes regardless of the source and those people who have business online are also making money. Government has track of them and definitely, they also have to pay income tax.

[wuvdoll]

Of course they do pay taxes. To not be banned they they open an official firm which should to take a licence for gambling activity. Everything should be paid and all papers should be on place to a big gambling site could work. In the other case it's activity sooner or later will be cuted by government's controlling structures.

Yeah, if someone is doing business, whether it is internet based or not, he will be paying taxes to the government for getting papers are being legalized. Before doing something, you need to get authority of performing that and I think only government authorities can permit anyone with that power.

[BossMacko]

As far as i know Gambling sites are paying taxes, because if they don't that site is illegal and sooner or later they might run with all the deposited amount or money in that site. Gambling sites are easily be trace by government so for it to run for a long time they need to be legal and being a legal they need to pay for tax.

[wxa7115]

This had me thinking,
Since its all in cryptocurrencies, do these sites even open a company and declare their earnings?

What is the legal approach here?

Is opening a company more profitable? since paying company tax is usually lower than personal tax?
Also all of this has to be done where online gambling is legal?

Thanks.

Good question! I think it's easy to determine whether a casino pays taxes or no by simply looking at its house edge and profit share for investors. Technically, casino has just one source of income - its house edge, and it has to cover all the spendings - servers, maintenance, salary for employees and of course taxes (if there are any). This is one of the reasons why Bitcoin gambling sites have much smaller house edge than traditional casinos - they don't pay taxes, so they have more profit, so they can reduce their house edge to be more attractive than fiat casinos. Also, traditional casinos operate with a license, which is like a reassurance from the government that the casino won't cheat (pretty weak in my opinion, since you have to just trust both casino and the government). Bitcoin casinos just don't need this, because they can prove their fairness via cryptography. 

The house edge is not that different, and the house edge is enough to pay those huge buildings in Las Vegas, so it is enough to pay taxes, but I think that what bitcoin casinos do is to register themselves in countries where the taxes are very low or zero, that way they give themselves a competitive advantage.

[jaocoincrypto18]

This had me thinking,
Since its all in cryptocurrencies, do these sites even open a company and declare their earnings?

What is the legal approach here?

Is opening a company more profitable? since paying company tax is usually lower than personal tax?
Also all of this has to be done where online gambling is legal?

Thanks.

If these gambling sites are big then they should be legalize by the government to impose amusement tax to them but if they are not registered they will be at risk to to be close by the law. Here in the Philippines may illegal gambling sites are located in the high end subdivision and owners was arrested because if the sites becomes big and popular it will be exposed to the public in which is very impossible to hide from the authorities.

[Dontme]

Yes of course they do taxes. Gambling is like business for them to be legal in the government they need to be registered and government approval. Those big casinos are easily to be track on by the government. So, in order for them to stay they pay taxes as government order them. Gambling is not that easy to enter a new place rather they make plans, concepts and fix all the paper for them to be legal before they built a casino building.

[fullhdpixel]

I think they should. If I were the owner of a profitable gambling site I think I would find a way to pay taxes, I mean I would tell my lawyer to find a way to avoid potential problems with the governmental institutions in the future.

But if your site is not profitable or you barely make $300/month that is another story. I don't know how it works in reality and I think it differs from place to place, but in my opinion such businesses shouldn't be persecuted by tax administrations.

All the businesses, whether online or not, need to be licensed by the government of a specific country where the owners live. In order to get that, they are supposed to pay tax so that they can start their business.

The income tax is not more than the affordable amount. Everybody needs to pay tax and those
who don't are heavily fined when discovered.

[Vaskiy]

I think they should. If I were the owner of a profitable gambling site I think I would find a way to pay taxes, I mean I would tell my lawyer to find a way to avoid potential problems with the governmental institutions in the future.

But if your site is not profitable or you barely make $300/month that is another story. I don't know how it works in reality and I think it differs from place to place, but in my opinion such businesses shouldn't be persecuted by tax administrations.

All the businesses, whether online or not, need to be licensed by the government of a specific country where the owners live. In order to get that, they are supposed to pay tax so that they can start their business.

The income tax is not more than the affordable amount. Everybody needs to pay tax and those
who don't are heavily fined when discovered.

Everything requires an legal approval. Only with that can have the business going successful. In my thinking the authorities just register according to the norms, but anyhow they use the loop holes available to escape from taxes to the maximum possible.

[olubams]

Of course big gambling sites will pay tax because its just part of the requirement for them to continue to stay in business. The taxes might not come in form of income taxes like all other companies but licenses and permits will definitely eat into their business. On the issue of not publishing their financials for the public, this is due to the fact that most gambling firms are not publicly owned as they are majorly own by individuals, group of friends or families with limited amount of people.

[TrumpD]

Some of them do, but most don't. It is risky depositing with some of these fly by night gambling websites. Do your due diligence before depositing, and having a license gives the operator some legitimacy.

[BabyBoss]

Some of them do, but most don't. It is risky depositing with some of these fly by night gambling websites. Do your due diligence before depositing, and having a license gives the operator some legitimacy.

Taxes are very important for the big gambling sites. Well those are ways for them to become legal, paying taxes. Sometimes that was the reason why some gambling sites are only open in the night because of the government's order. Governments are very strict when it comes on gambling or casinos they are ordering rules for the casinos to be followed by so they need to pay taxes for them to continue their business.

[Monnt]

i think gambling sites is not paying taxes for government because the site is online and how government will trace their revenue from gambling? even if they can, the sites is not always hosting in their territory so there is not related with them. and if the gambling sites have physical compane, then they are only pay taxes for their office too unless they give the complete assets they have to the government then government will decide to included in the list to pay taxes or not.

Yes, they don’t have marked any signs of revenue on their websites. How government will be maintaining their records of profits and loss and then calculating tax. They are online and as you said, websites are often developed out of territory so they, maximum times, don’t pay any tax.

But all these will be possible only with the case of crypto based gambling business. But all the fiat based business must pay taxes and must provide their revenue information too.

[reliable]

Some of them do, but most don't. It is risky depositing with some of these fly by night gambling websites. Do your due diligence before depositing, and having a license gives the operator some legitimacy.

I think casinos which have license would certainly be paying taxes because even government know how much revenue roughly they would be generating considering the people play in casinos and tourists who specially come to Las Vegas, Macau etc. Yes some part they could evade the taxes through their internal setting but ideally I assume they do must be paying taxes.

[setupbounds]

I do not think so, maybe the site holder can hide his status. Gambling sites are not like real casinos that are clearly visible to our eyes. Gambling sites seem more privacy. I do not really know but it looks like gambling sites do not pay taxes. They benefit for themselves. Or maybe gambling sites pay taxes if the country legalize gambling.

It happens. Gambling sites are mostly not registered as gambling sites under their own country law. They hide their status and things are just for fun so government don’t take such notice of it. People came, play online, and have fun and they are gone so profit is with owners and story ends.

[Barbut]

I do not think so, maybe the site holder can hide his status. Gambling sites are not like real casinos that are clearly visible to our eyes. Gambling sites seem more privacy. I do not really know but it looks like gambling sites do not pay taxes. They benefit for themselves. Or maybe gambling sites pay taxes if the country legalize gambling.

It happens. Gambling sites are mostly not registered as gambling sites under their own country law. They hide their status and things are just for fun so government don’t take such notice of it. People came, play online, and have fun and they are gone so profit is with owners and story ends.

Its not like that, every site has to be registered somewhere, depends from country where its registered they need to work under their laws. Regulations and taxes are not the same in every country, some countries forbid gambling of any kind, some have very high taxes for gambling, but there is always some island paradise that offers very low taxes and not so strict laws. Its not just with casinos, you can look for many corporations and companies that are registered in some of this paradise countries.

[wxa7115]

Maybe if they want to be recognized as a legal site then they have to pay taxes. If they do not pay taxes it's an illegal gambling site, and illegal means less security.
If gambling sites are created and operated in a country that prohibits gambling, then the site is definitely illegal and certainly will not need to pay taxes.

Gambling sites rather all the sites need to pay tax in order to get licensed by government. All such sites do pay taxes and as far as we are utilizing the facilities like internet and electricity, definitely we all are paying income taxes one way or the other. You cannot run an illegal site very easily. After all, all of our activities are locked.

Well, all the citizens living inside boundaries of a state are supposed to pay tax on their incomes regardless of the source and those people who have business online are also making money. Government has track of them and definitely, they also have to pay income tax.

But things are different when it comes to pay taxes when it comes to business, a business is considered to be a separated entity from the individual that created it that is why you are asked to keep your account separated even if the business is yours.

[Gaff]

I do not think so, maybe the site holder can hide his status. Gambling sites are not like real casinos that are clearly visible to our eyes. Gambling sites seem more privacy. I do not really know but it looks like gambling sites do not pay taxes. They benefit for themselves. Or maybe gambling sites pay taxes if the country legalize gambling.

It happens. Gambling sites are mostly not registered as gambling sites under their own country law. They hide their status and things are just for fun so government don’t take such notice of it. People came, play online, and have fun and they are gone so profit is with owners and story ends.

Its not like that, every site has to be registered somewhere, depends from country where its registered they need to work under their laws. Regulations and taxes are not the same in every country, some countries forbid gambling of any kind, some have very high taxes for gambling, but there is always some island paradise that offers very low taxes and not so strict laws. Its not just with casinos, you can look for many corporations and companies that are registered in some of this paradise countries.

I agree with this matter mate, this really implemented strict laws on gambling registered licenses as well as highest tax implemented laws. Those who doesn't comply to the law implemented requirements will be subjected to website closure, and worst if they don't pay taxes they will be totally banned and won't be accessed again. So in order for the gambling business to run smoothly without any illegalities, well those owners must abide the laws and regulations because if they don't; they will be considered illegal business.

[FasTroy]

Some of them do, but most don't. It is risky depositing with some of these fly by night gambling websites. Do your due diligence before depositing, and having a license gives the operator some legitimacy.

Yes, we should be careful when we decide to deposit in any of gambling sites, we must first make some research about the site, to know if the site is legal and is scam or not, by reading some reviews.
In few months ago, I played on directbet.eu , it's one of my favorits gambling sites, it pays fees when we withdraw, but unfortunalty it closed now.

[MinerHQ]

Some of them do, but most don't. It is risky depositing with some of these fly by night gambling websites. Do your due diligence before depositing, and having a license gives the operator some legitimacy.

Yes, we should be careful when we decide to deposit in any of gambling sites, we must first make some research about the site, to know if the site is legal and is scam or not, by reading some reviews.
In few months ago, I played on directbet.eu , it's one of my favorits gambling sites, it pays fees when we withdraw, but unfortunalty it closed now.

It looks like you confused about the OP question. He is asking about whether these gambling sites are paying taxes to governments or not? He is not talking about the withdrawal fees.

If I'm not wrong directbet was deducting our fees from your winnings to send payments and it was my favourite site to bet on cricket matches. Most of the land-based casinos should be paying taxes and only online casinos not sure how they manage this part.