Gambling is just a fun game for many, whereas, for some others, it is a source of income. Many people use betting and gambling as their single source of earning. If you belong to any of these categories, you should know about the laws and regulations of gambling.
One of the crucial laws is the tax law, and like any other gambling law, tax law also differs from Country to Country. Every penny we earn through gambling is taxable, so the citizens must learn about their tax laws and pay tax. Think that you are playing a slot game in Pino casino for the first time and won a massive amount as a prize? Do you know whom to inform first? Don’t worry if you don’t know; we have got your back.
The Tax Rate For Betting?
Most of the people indulging in betting, especially online, are unaware that their lottery money is liable to taxation. But this is not the case for all the countries; the rate of taxation varies drastically with government and state. Here is the list of countries that has the highest and lowest tax rates in the world.
Countries With The Highest Tax Rates
Can you believe that you have to give 90% of your betting money as tax in some countries? Yes, it is true; there are so many countries that charge huge taxes on gambling money. Some of those countries are:
- Germany- Up to 90%
- France- Up to 80%
- Austria- Up to 80%
- Luxembourg- Up to 80%
- Denmark- Up to 75%
- Poland- Up to 50%
- UK – Up to 50%
Given above are the maximum tax rates in those respective countries; tax rate reduces based on states and the game you won. So, if you are from any of these countries, we suggest you don’t gamble there.
And in case you indulge in gambling in these countries, inform the government regarding your winning. The games you lose will be helpful for tax reduction, so tell your money to lose to your government.
Countries With The Lowest Tax Rates
Some countries impose a 1% or lesser tax for lottery and gambling money, unlike Germany and France. These are some of those countries that have the lowest gambling tax in the world.
- Russia- 0%
- Italy- 0%
- Cambodia- 2%
- Belgium- 2.5%
- Czechia- 6%
- The US- Up to 8%
- South Africa- 10 %
These countries have the lowest gambling taxes, and if you are going for land casinos, these countries are the best option. In some of these countries, tax rates are different for online casinos and land casinos.
Countries That Do Not Have Gambling Tax
There are 16 countries globally where you do not have to pay tax for the money you won from casinos. Those 16 countries are:
- Czech Republic
In these countries, you do not have to pay tax for both land and online gambling, making these the best countries for gambling. So, if you are planning to start gambling as a source of income, you try online casinos of these countries.
Play, Earn, Pay And Earn More!
Now you know the countries you should avoid and prefer for gambling; keep the list in mind before gambling. And remember that several countries do not impose a tax on online casinos; try them if you are a newbie.
Always remember to abide by the rules of your government and pay tax if your country demands it. You can try to avoid tax but never evade tax; be a responsible citizen.