Features of taxation of winnings from slots
Features of taxation of winnings from slots
Current on: 11 August 2025
Short conclusion
In Australia, slot winnings from amateurs are not taxable, but for professional gamblers they are treated as taxable income. Under certain circumstances, including regular profit play or cryptocurrency withdrawals, obligations to the ATO arise.
1. Legal framework
The Australian Taxation Office (ATO) distinguishes between random winnings and professional gambling.
The legislation does not provide for the taxation of random slot winnings, as they are considered the result of luck, not business.
If the game is a systematic activity for profit, taxation is applied as for business income.
2. Amateurs and professionals
Amateurs:
Professionals:
3. Slot specifics
Winnings are paid immediately and recorded by the platform or casino.
When using online slots, all transactions are reflected in the player's personal account and can be provided to the ATO.
Large payouts (from AUD 10,000) are automatically monitored by AUSTRAC.
4. Cryptocurrency and taxes
If the slot winnings are paid in cryptocurrency, they are subject to valuation in the AUD on the date they are received.
Subsequent sales or exchanges are subject to capital gains tax (CGT).
5. International platforms
Wins from offshore pro slots are also taxed in Australia.
When transferring from abroad, banks can request confirmation of the source of income.
The ATO receives overseas payout data through international agreements (CRS).
6. How to make a taxable win
Save casino statements and screenshots with the date and amount of the win.
Record costs associated with the game (for deduction from professionals).
Report income in the tax return in the Business income or Other income section depending on the player's status.
7. Recommendations
Determine your status (amateur or professional) in advance to avoid violations.
For large payments - prepare a package of documents for the ATO and the bank.
When playing on foreign slots - use only licensed platforms to simplify revenue confirmation.
Conclusion
In Australia, slot winnings are only taxed in professional gambling or cryptocurrency transactions. For amateurs, it is only important to store evidence of the random nature of the winnings, and for professionals, to keep complete financial statements and file a declaration.
Current on: 11 August 2025
Short conclusion
In Australia, slot winnings from amateurs are not taxable, but for professional gamblers they are treated as taxable income. Under certain circumstances, including regular profit play or cryptocurrency withdrawals, obligations to the ATO arise.
1. Legal framework
The Australian Taxation Office (ATO) distinguishes between random winnings and professional gambling.
The legislation does not provide for the taxation of random slot winnings, as they are considered the result of luck, not business.
If the game is a systematic activity for profit, taxation is applied as for business income.
2. Amateurs and professionals
Amateurs:
- They play irregularly, do not have a strategy aimed at stable profits.
- Winnings are not shown on the tax return.
Professionals:
- The game is the main or significant source of income.
- Statistics, strategy and cost accounting are maintained.
- All winnings are subject to declaration, the costs associated with the game are taken into account.
3. Slot specifics
Winnings are paid immediately and recorded by the platform or casino.
When using online slots, all transactions are reflected in the player's personal account and can be provided to the ATO.
Large payouts (from AUD 10,000) are automatically monitored by AUSTRAC.
4. Cryptocurrency and taxes
If the slot winnings are paid in cryptocurrency, they are subject to valuation in the AUD on the date they are received.
Subsequent sales or exchanges are subject to capital gains tax (CGT).
5. International platforms
Wins from offshore pro slots are also taxed in Australia.
When transferring from abroad, banks can request confirmation of the source of income.
The ATO receives overseas payout data through international agreements (CRS).
6. How to make a taxable win
Save casino statements and screenshots with the date and amount of the win.
Record costs associated with the game (for deduction from professionals).
Report income in the tax return in the Business income or Other income section depending on the player's status.
7. Recommendations
Determine your status (amateur or professional) in advance to avoid violations.
For large payments - prepare a package of documents for the ATO and the bank.
When playing on foreign slots - use only licensed platforms to simplify revenue confirmation.
Conclusion
In Australia, slot winnings are only taxed in professional gambling or cryptocurrency transactions. For amateurs, it is only important to store evidence of the random nature of the winnings, and for professionals, to keep complete financial statements and file a declaration.
