Gambling with crypto because taxation makes no sense?

[Natsuu]

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.

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.

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.

[famososMuertos]

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}

[darkangel11]

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.

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.

[KTChampions]

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.

[erep]

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.

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.

[o48o]

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.

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.

[arimamib]

~

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.

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.

[Westinhome]

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.

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.

[coupable]

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.

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.

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.

[KTChampions]

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.

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.

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).

[Slow death]

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

[uneng]

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.

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.

[Gozie51]

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.

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.

[AbuBhakar]

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.

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.

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.

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.

[Z_MBFM]

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.

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?

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.

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?

[topbitcoin]

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.

[BitcoinPanther]

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.

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.

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.

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.  

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.

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).

[Fivestar4everMVP]

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.

[Wakate]

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}

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.

[tsaroz]

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'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.