Taxation for Australian residents and non-residents
Taxation for Australian residents and non-residents
Current on: 11 August 2025
Short conclusion
In Australia, residents and non-residents are taxed under different rules. For gambling enthusiasts, winnings are usually tax-free, but professional gamblers pay income tax regardless of status.
1. How tax status is determined
The Australian Taxation Office (ATO) classifies the player as:
2. Resident taxation
Amateurs: Winnings are tax-free as they are considered random income.
Professionals: Gambling income is taxed on a scale for individuals.
Features:
3. Taxation of non-residents
Amateurs: Winnings from Australian sources are also tax-free if it's a hobby.
Professionals: Taxed on income earned in Australia.
Features:
4. International agreements
Australia has a number of treaties governing the taxation of foreign income.
If there is an agreement with a specific country, exemption from double taxation is possible.
If there is no contract, the player may face obligations in both countries.
5. Case studies
Resident, Amateur: Won AUD 50,000 from an offshore casino - no tax.
Resident, professional: earned AUD 200,000 on poker - tax is mandatory, foreign income is taken into account.
Non-resident, amateur: Won AUD 30,000 at a Sydney casino - no tax applied.
Non-resident, professional: Earned AUD 100,000 in Australian online tournaments - tax mandatory
6. Recommendations
Determine your tax status before filing your return.
Keep proof of winnings and expenses.
For income from several countries - check the terms of international agreements.
In case of disputes - request private ruling from ATO.
Conclusion
In Australia, the key difference between residents and non-residents is the source of income and access to tax credits. For amateurs, the taxation of winnings is practically not applied, but professional players must declare profits and pay tax according to the current rules.
Current on: 11 August 2025
Short conclusion
In Australia, residents and non-residents are taxed under different rules. For gambling enthusiasts, winnings are usually tax-free, but professional gamblers pay income tax regardless of status.
1. How tax status is determined
The Australian Taxation Office (ATO) classifies the player as:
- Resident - a person living in Australia for more than 183 days a year, having permanent housing and a center of vital interests in the country.
- A non-resident is a person who lives outside Australia for most of the year, but receives income from Australian sources.
2. Resident taxation
Amateurs: Winnings are tax-free as they are considered random income.
Professionals: Gambling income is taxed on a scale for individuals.
Features:
- Residents declare income from both local and foreign sources.
- The ability to write off expenses related to gaming activities (for professionals).
3. Taxation of non-residents
Amateurs: Winnings from Australian sources are also tax-free if it's a hobby.
Professionals: Taxed on income earned in Australia.
Features:
- There is no access to tax credits available to residents.
- Non-residents pay tax only on income earned in Australia.
- When winning abroad, tax liabilities depend on the country of location of the casino and double taxation agreements.
4. International agreements
Australia has a number of treaties governing the taxation of foreign income.
If there is an agreement with a specific country, exemption from double taxation is possible.
If there is no contract, the player may face obligations in both countries.
5. Case studies
Resident, Amateur: Won AUD 50,000 from an offshore casino - no tax.
Resident, professional: earned AUD 200,000 on poker - tax is mandatory, foreign income is taken into account.
Non-resident, amateur: Won AUD 30,000 at a Sydney casino - no tax applied.
Non-resident, professional: Earned AUD 100,000 in Australian online tournaments - tax mandatory
6. Recommendations
Determine your tax status before filing your return.
Keep proof of winnings and expenses.
For income from several countries - check the terms of international agreements.
In case of disputes - request private ruling from ATO.
Conclusion
In Australia, the key difference between residents and non-residents is the source of income and access to tax credits. For amateurs, the taxation of winnings is practically not applied, but professional players must declare profits and pay tax according to the current rules.
