Are Casino Bonuses Taxed in Australia?

Australians are highly involved in the iGaming industry, with 80% of Australians being engaged in some kind of gambling. If the Australian government decided to tax gambling winnings like regular income, casinos could generate millions of AUDs for the government.

Luckily, AU casinos and players pay taxes on gambling winnings in a slightly different manner than the rest of the world. In some countries, let’s say America, big wins are considered as your regular income, and these amounts will be charged 50% of the actual amount.

On the other hand, the AU government considers gambling winnings as good luck. This is because most of the players lose more money due to gambling addiction. If you have just won a massive amount of money by playing on an online platform and are wondering if the taxman will take a slice, the answer is yes in some cases. If you gamble online from Australia, then it is highly likely that at least some of your income will be considered taxable income if you are a high hitter.

However, you do not need to worry about gaming tax because there are ways to avoid this problem. It is possible to play on an Australian website without bearing charges on your winnings at all.

Do Gamblers Pay Taxes on Winnings in Australia?

Here, rewards from gambling, including casino bonuses with the possibility to claim a free 50 dollar no deposit bonus and a big win, are generally not taxed. However, if someone is operating a business of gambling, then their income from that business would be subject to income tax.

Additionally, professional gamblers may be required to declare their gambling income on their tax return, but this is not the same as the income being taxed.

Who Has to Pay the Gambling Tax in Australia?

Gambling is not a profession in the region, and authorities also treat winnings from casinos as a reward for good luck. The revenue generated from a hobby or recreational activity is not charged for taxation laws on a regular basis. It is a fact that gaming addicts lose more money than they win at the entertainment casinos in the country.

The government is still getting paid in the form of taxes on the casino industry, but your casino is bearing the fee here. Casino operators have to pay a certain percentage of annual turnover, and they also pay big fees during the establishment of the gaming platforms.

Tax Percentage for Casino Companies

The tax percentage for the providers varies depending upon the nature of the services offered and from where they are operating the gaming platform.

  • In New South Wales State, the percentage of electronic machines is 16.41% to 38.91%.
  • The actual percentage depends upon the gross revenue of the casino.
  • If you are one of the many Australians who gamble on a regular basis, your winnings will be subjected to tariffs if you make a significant amount in the course of a year.

There is no point in worrying because the office will not come after small earners. If you have made more than $1 million AUD gaming in one year and still do not feel like paying taxes on gaming winnings, then it is time to change your hobby because the office will catch you. They will take everything that they can from you. If you want to relax after the time of counting taxes, then you can watch Boiler Room.

More Taxes for Casino Providers This Year

Recently, the government has decided to implement more fines and fees on Australian casino providers to offer monetary relief to the victims of floods, COVID-19 and wildfires. Casino industry operators in the country are going to pay taxes for the betterment of the community. Entertainment providers have already paid huge fees for offering gaming services all over the world.

The Australian Taxation Office has started a special force to target the big winners in the leading providers, and their files will be analysed against their major jackpots at different casinos. Regular punters don’t need to worry about these measures, but high-level gamblers may need to reconsider their tax numbers.

Australian Taxation Office Is in Action

If someone has spent millions of dollars or huge amounts of money at the casino, but he has declared only AUD100000 in his files, there is a substantial difference, and ATO will try to target such gamblers. Casinos that were operating before the disaster have agreed to pay extra taxes as a relief fund. You can expect to deal with the ATO if you have not filed the right figures over the period of one year. Make sure you have the right details to prove your tax numbers.

Don’t worry if you have been gambling from overseas casinos because the situation is more or less similar here, too, at least for now. The revenue office may decide to target overseas gamblers and then domestic gamblers when this plan becomes successful. Also, you can try offline android casino games you can play for free in Australia.


It is always better to check your region’s latest laws and regulations about taxes and other charges. Make sure to play safely on the legit sites only. If you are not a high roller or not making huge money, then there is no reason to worry about paying a gambling tax in AU. But if you have spent a major amount of money on gambling and don’t want to pay these taxes on your actual income, you might face issues with ATO. As a responsible citizen, you must have access to the latest laws so that you don’t have to deal with any legal risk.




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