Do you ever had legal problem due to playing on Curacao licenses online casinos?

[salad daging]

My country bans gambling completely but it is not a blacklisted country for online casinos so we can still play online gambling despite the ban from the local government.
But from our winnings we never report any tax to the government because it does not take care of gambling tax because it is illegal except some countries may have to report it.
I report taxes from trading on authorized local exchanges that are supervised by the government, so the tax paid is not by us but the exchange that reports to the government so in each trade it will be taxed by the exchange.

[maydna]

But that will be right if player must responsible with their gambling activity. If in his country, gambling is prohibit, he doesn't have to try to playing gambling because if he is caught by the regulator, he will get punishment and the worst is he can get in a jail. When a country prohibit gambling, people is not report their gambling tax because they will not playing gambling and will stay away. Although some people in that country will playing gambling secretly, they will not reports their gambling tax too. When they win, they will not do anything and keep their winning and enjoy it to buy something.

[AbuBhakar]

I live in the USA where bitcoin is not considered money until you cash it out, so if I am playing in an online casino and win big I would not have to report it until I cashed it into fiat. I have paid a massive amount in taxes since getting into bitcoin, my government is insane with taxes and it doesn't seem to want to let up.

I’m curious about this, What crypto casino you are using since most of the Curacao license casino doesn’t allowed US citizen to play(CMIIW). I’m always restricted to play whenever I’m using US IP using VPN accidentally so I assume that most of the crypto casino doesn’t accept US citizen players.

Are you using VPN or you use selected crypto casino that offer exemption to US citizen. I will be happy if you can answer me. Thanks in advance.

I use gamdom.com for sportsbetting and they don't care about vpn use as far as I know. They don't do kyc to my knowledge either.

Thanks for this. I’m not aware that there’s still some casino that doesn’t ask KYC despite having a Curacao license. I will be happy to recommend this to my friends living in US now that having problem with crypto casino restrictions.

How many years do you play on this casino. Also is the support of Gamdom still active im the forum. I want to recommend only those casino that we can seek help here in the forum.

If you don't have an account feel free to pm me for my affiliate code and sign up.

Sure PM me your ref link. I will try this casino this weekends.

[retreat]

What about people who live in a country where gambling is completely forbidden, how you declare your gambling tax?

As a gambler living in a country where gambling is strictly prohibited, I have never declared taxes from my gambling winnings, because why would you declare something that is prohibited, unless you want to get in trouble. What I do is normal, using the platform with a vpn and withdrawing to my wallet and then to the exchange - for the taxes, it's all concluded when trading on my local exchange - and so far there have been no problems.

[DubemIfedigbo001]

What about people who live in a country where gambling is completely forbidden, how you declare your gambling tax?

Like you indicated here, in such countries gambling is forbidden, so there's no way the government would even make a provision to tax such activities. The government only imposes tax on legal ventures and not forbidden ones. I think what the government would do is even to prosecute anyone found guilty of gambling in a gambling forbidden country.

You declaring your tax in such countries is setting yourself up for the law tho catch up with you, so it's not needed. You gamble in secret and enjoy your wins in same way. The government should never be involved if your freedom is still your priority.

[davis196]

Every country has different rules and regulations about gambling and taxes.
In my country, no gambler pays any gambling tax. The casinos pay gambling tax as a percentage of their revenue.
Declaring your gambling profits as taxable income would be weird. I've never done such thing and will never do it. My gambling profits were really low and I tend to keep my crypto away from my fiat income streams.
You are right about casinos with Curacao licenses not being legal everywhere around the world. Online gambling might be illegal in your country, but you could use VPNs and proxies to bypass this rule and to gambler in VPN-friendly online casinos. I don't think that the gambling regulators in your country would be able to catch you.

[Solosanz]

I'm not sure how can people answer to not declare their income from gambling, how do you can cash out in the first place?

So let's say I gamble on somewhere, I deposit $100 and I made $5K from it, then I send it to centralized exchange (since most people use CEX), trade for fiat, and then my money now in my banks account.

Some users said the CEX paid the tax directly to the government when during convert to fiat, I get it, it's still in grey area.

But for people who live in a country that you need to declare the tax by yourself, isn't the tax authority will questioned your $4.9K? or you're lying to declare the $4.9K you got from freelance jobs or something like that?

[Peanutswar]

~~
I think that when we cash out our winnings from online casinos, we need to declare our gambling tax. When you declare it, didn't the authority ask you which casino you played or something like that?

What about people who live in a country where gambling is completely forbidden, how you declare your gambling tax?

Im not an expert related with the tax and transactions inside the casino how they operate but I know is casino are one of the largest contributor in terms of taxes because they have the largest money generating business, and they are the one who pay the tax and not the player, I haven't played with the given casino right there but base on my experience upon playing in a casino they will just exchange your money into a token with a one is to one value and you can cashout without having a VAT. Now if you are a large player with a large income I guess this will be questioned with the BIR that requires you for additional contribution or not.

[Findingnemo]

Gambling is legal in my country and there maybe a lot of laws but I guess I am fine playing even with the casinos that's registered on different countries and all they care about is whether I am paying my taxes or now and even they don't care if I miss the tax but they might hammer with penalty for missing the tax payments if they found but they are not gonna go after every tax payer, they will be concentrating only on the big hands, lets say if someone won a million then they will be under the tax agency radar.

[Hispo]

...

Since gambling is completely banned in your country, doesn't it mean it theory the money you could be getting from your good luck on online casinos might be confiscated/seized by the government if they found out about it?
I get that since gambling is not legal in your country, you don't have any obligation to declare that money for the sake of calculating taxes, and since there are not taxes, you are not evading taxation.
It just seems weird to me how people could get away with it in a country where gambling in illegal but keeping money from gambling seemingly is not a problem.
My only guess on this matter is whether the market of gambling underground and the number of gamblers in your country is so high, that it is practically impossible for your authorities to enforce laws against money coming from gambling.

Also, by chance your government is ruled by the Sharia law for Muslims? I have the bias/perception most of the cases in which governments get involved with the gambling activities of their citizens it is when authorities themselves are muslin and enforce the law of Islam.

[Davidvictorson]

When workers wanted to be paid their salaries, the company they are working for deduct the tax from the workers salary and pay it as tax to the government. Gambling site should not be different if you win more than lose.

I think that there's some kind of tax that gambling companies pay to the government in the country where they are permitted offer their services. I also think that it is applicable to both online and physical casino. There's like corporate taxes which they are taxed on their profits. There is also the value added tax too. They are a business and as long as they do their business in the country they are by law required to pay taxes.

[coolcoinz]

I think that when we cash out our winnings from online casinos, we need to declare our gambling tax. When you declare it, didn't the authority ask you which casino you played or something like that?

What about people who live in a country where gambling is completely forbidden, how you declare your gambling tax?

This is tricky to be honest. If you play using cryptocurrency, many countries don't recognize crypto gains as taxable, until you turn it to fiat money.
For instance, some EU countries like Germany allow you to avoid tax completely if you end up holding your crypto, so if you get it from whatever source and it's EUR 1k or less, or you hold it for over a year, you can sell it and pay no tax.

I used to live in a number of EU countries like UK and Poland and in Poland AFAIK you don't declare crypto until you sell it, so if you win in a casino and your country wasn't on the list, you can hold your bitcoin for a few years and never declare that you have it. Should you decide to sell, you can always say it was "gains from other sources" and never even tell the IRS that it was gambling. If the amounts are modest, they won't ask about it. Maybe if you had over 10k EUR to declare they would check you, but if you win less than that chances of you getting a letter from the IRS are 0, since you can exchange 1k EUR with no KYC in the EU, so if you do that 10 times a year (10k EUR) nobody cares. In many countries this is below minimum income anyway.

In other words, big money, like $50k, you better do everything by the book. Won $1k playing in a curacao casino? Nobody cares.

[$crypto$]

So far, I haven't experienced any problems from the casinos that have the licenses you mentioned, but the online gambling winnings have never provided tax reports independently, so for me this is still fine because I have never experienced big wins above $5000 for example.

After the winnings are disbursed to CEX and exchanged to fiat then the tax will be collected maybe from that annual income, I don't understand the tax because so far I have never reported the proceeds from gambling.

[Dr.Bitcoin_Strange]

In countries where gambling is legal, any licensed casino in that country should take out tax from the winning of players and pay it to the government or during withdrawals, tax should be deducted from the amount that is withdrawn. If it's a licences casino, i think tax authority should be able to detect that the money withdrawn is from a casino and they can minus their tax.

[ryzaadit]

Just declare is from trading/investment, mostly is hard to track activity of your transaction.

If you really scared for the transaction you are doing with gambling activity, perhaps you can mix them first before cash out to the bank ? Usually, my country still have a hard time to track transaction activity but they care about the tax rules from investment crypto.

We already have a final tax form, from trading (buy/sell) is already payed the tax and we just need to declared the data.

[taufik123]

-snip-
If you really scared for the transaction you are doing with gambling activity, perhaps you can mix them first before cash out to the bank ? Usually, my country still have a hard time to track transaction activity but they care about the tax rules from investment crypto.
-snip-

It could be a solution so that there is no tracking of where the money comes from, and usually the Bank will also track the source of the funds but with the note that the transaction is large enough that it can be suspected of money laundering and so on.

In my country, gambling is prohibited and there will be no taxes paid because I play using a VPN.
As people who are in the same area as me say, taxes will only be paid on the CEX used to exchange crypto for Fiat and that will be a predetermined income tax,
so in the end I still pay taxes on what I earn either from gambling or outside of gambling.

[Kemarit]

Just declare is from trading/investment, mostly is hard to track activity of your transaction.

If you go online, there could be historical logs of our trades and sports betting or our gambling activity itself.

If you really scared for the transaction you are doing with gambling activity, perhaps you can mix them first before cash out to the bank ? Usually, my country still have a hard time to track transaction activity but they care about the tax rules from investment crypto.

We already have a final tax form, from trading (buy/sell) is already payed the tax and we just need to declared the data.

It could be the solution to make it harder for the bank or any government agency to track. So in short, we really don't want to admit that we want to submit to our government for tax purposes even if they require us to do so, IMHO.

In my country though, gambling is legal but I haven't heard of any gambler have legal problems due to his non-paying of taxes.

[Sandra_hakeem]

I think that when we cash out our winnings from online casinos, we need to declare our gambling tax. When you declare it, didn't the authority ask you which casino you played or something like that?

I don't understand you... Since when did the authorities begin a keen search through people's accounts to know where and for what purpose a payment was made? You're not gonna lebel the transactions as "withdrawal from a casino" or are you? It doesn't work that way...

If anything would ever involve tax, the casino would have to pay for it  after collectively gathering enough peanuts from your wins.. i guess that should be the reason why every casino has a minimum & maximum withdrawal limit.

What about people who live in a country where gambling is completely forbidden, how you declare your gambling tax?

Use a VPN next time to avoid asking confusing questions like this one.

[BABY SHOES]

So let's say I gamble on somewhere, I deposit $100 and I made $5K from it, then I send it to centralized exchange (since most people use CEX), trade for fiat, and then my money now in my banks account.

That's what I do when I win at gambling... Withdraw to a foisted exchange (CEX) and convert to fiat then withdraw to a local bank account... And from the buying/selling that is done it includes the tax that I know in the local exchange.

Some users said the CEX paid the tax directly to the government when during convert to fiat, I get it, it's still in grey area.

I believe this... because I've seen reports of CEX reporting taxes to the government but I don't know about other countries.

But for people who live in a country that you need to declare the tax by yourself, isn't the tax authority will questioned your $4.9K? or you're lying to declare the $4.9K you got from freelance jobs or something like that?

I don't know about this, because taxes are usually deducted automatically from the bank account, or when they have a lot of assets then they can report it themselves.
In the case of gambling this has never happened.

[Slow death]

Fortunately, gambling is legal in my country, and in the case of sports betting and even lotteries, the government does not charge taxes on winners, but they do charge taxes on owners of casinos and betting houses that are licensed in my country. There is also no problem using casinos outside my country. Since I do not win often in sports betting, I do not withdraw money. However, I have withdrawn profits from trading, and I am not charged taxes. I think that regarding this issue of a country allowing its citizens to only play in casinos licensed in its own country, it means that every time these citizens use international casinos, they are breaking the law and they are also breaking tax laws. It can be considered a crime of tax evasion.