Everything You Want to Know About Online Casino Taxes!
What is the tax-free online casino? Tax matters can be complicated, but with this guide, we're exploring tax-free casinos and answer all your questions!
Do I have to pay tax on my casino winnings in Sweden?
If you gamble at Swedish-licensed online casinos, you never have to tax. If you gamble at an untaxed casino in Sweden, you might. If you're looking for somewhere like that, read more about it in this handy guide to Swedish tax-free casinos.
Sweden also has its own gambling license, which ensures not only security and responsible gaming but also tax-free winnings for the players. It is worth choosing a casino with this license in order to be able to enjoy these benefits.
How to Know if a Casino Has a Swedish License
By playing at a licensed casino operated by the Swedish gambling authorities, you do not have to worry about being taxed on your winnings. We at SveaCasino only offer licensed casinos, so you can always play safely.
You can just scroll to the bottom of a casino website and check if it has or does not have the Spelinspektionen (Swedish Gambling Authority) logo on it — that's one definite sign that the site is properly licensed.
Any Swedish-licensed casino should also have direct link buttons to such institutions as Spelpaus (exclusion), self-test, and gambling limits towards the top of a website.
The Spelinspektionen also gives a complete list of all the licensed casinos in operation today, making it easy to check if a site is up to standard.
Tax-Free Casinos within the EU and EEA
The EEA (European Economic Area) is an agreement of EU countries plus Iceland, Liechtenstein, and Norway. It entails free movement of goods, services, people, and capital. It also proposes that casino winnings licenses would be tax-free for Swedes.
But even EEA-based casinos can charge taxation duty when they market their services to Swedish players without a Swedish license. These casinos cannot offer their website in Swedish, accept the SEK currency (Swedish Krona), or market their services to Sweden.
Countries of the EEA Are
Austria, Belgium, Bulgaria, Croatia, Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Iceland, Ireland, Italy, Latvia, Liechtenstein, Lithuania, Luxembourg, Malta, Netherlands, Norway, Poland, Portugal, Romania, Slovakia, Slovenia, Spain, and Sweden.
Note: The United Kingdom is no longer an EEA member.
What Are the Swedish Tax Agency's Rules on Gambling Winnings?
Swedish casinos are always tax-exempt. But as mentioned earlier, also non-EEA-based casinos outside Sweden but not in Sweden can provide tax-free winnings.
Let us discuss more specifically how the Swedish Tax Agency (Skatteverket) determines if and how winnings on gambling can be taxed:
If you've won money from gambling that isn't operated by a Swedish online casino, you must report the net win as "capital income" — but only if the winnings are more than 100 SEK.
The Swedish Tax Agency states you'll have to pay tax on winnings from the following types of games:
- Games targeted at the Swedish gambling market but operated without a Swedish license.
- Online games not released in an EEA state, i.e., not targeting any EEA market.
- Games released physically outside the EEA (e.g., in a Las Vegas casino).
This would mean that if you win from an online casino in Germany targeted primarily at German players, you do not need to pay tax because it is targeted at the German market and is within the EEA.
But if you do win at a Swedish-themed casino operated from Malta but unlicensed Swedish, you will have to pay and declare tax on the win.
Is It Legal to Play at a Tax-Free Casino That Doesn't Have a Swedish License?
Yes, it is legal to play in Swedish unlicensed casinos.
But we strongly recommend playing in casinos that actually own the Swedish license since they offer additional security, responsible gaming facilities, and tax-free winnings.
How Do I Report Winnings from a Non-Tax-Free Casino?
When you win at a non-tax-free casino, your winnings must be declared as "capital income." You only declare net incomes exceeding 100 SEK.
For example, if you get 35,000 SEK as a prize at a tax-free casino and 22,000 SEK at a taxed one, you declare only the 22,000 SEK prize at the non-tax-free casino.
Want Tax-Free Casino Play? Choose Casinos with a Swedish License!
To play tax-free, choose to play at those casinos run by the Swedish Gambling Authority. In this way, you don't have to pay taxes on your wins.
But it's not a question of dodging taxes, either — Swedish-licensed casinos protect your information, and they're audited regularly to ensure that everything is fair and square.
We do the research on all the Swedish operators here at SveaCasino, and you'll easily be able to find a decent, reliable casino.