Slot Machine Winnings Taxes: A Comprehensive Guide

Learn about slot machine winnings taxes in the USA, UK, Canada, Australia, and NZ. Report winnings, deductions, and state/local taxes. Join our forum!
Slot machine winnings taxes

Slot machine winnings taxes vary depending on the country and whether you are a professional gambler or not. In this article, we will discuss the tax implications of winning on a slot machine in different countries such as the USA, UK, Canada, Australia, and New Zealand.

Slot Machine Winnings Taxes in the USA

In the USA, all gambling winnings, including those from slot machines, are subject to federal taxes. Both cash and non-cash winnings are fully taxable. If the amount won on a slot machine is over $1,200, the casino is required to report it, and winners will receive a W-2G Form. Federal taxes will be withheld at a rate of 25%, or 28% if the winner didn’t provide their Social Security number. Winners must report all winnings on their tax return as “other income” on Schedule 1 (Form 1040), line 8.

Gambling losses are deductible only up to the amount of their wins. Players must keep good records and have suitable documents to prove their losses. Documentation must include the amount won or lost, a date and time, type of wager, type of gambling activity, name of each casino/address of each casino visited, and the location of their gambling business.

Players must also pay state or local taxes on their gambling winnings. If they travel to another state and win, that state will also tax their winnings. However, the state where they reside must give them a tax credit for the taxes they pay to that other state.

Slot Machine Winnings Taxes in the UK

In the UK, gambling winnings are not taxed, so players can keep whatever they win. They won’t be able to deduct any losses they might collect. Currently, slot machine winnings are not taxed in the UK, and the same goes for any other casino game.

Slot Machine Winnings Taxes in Canada

In Canada, recreational players don’t have to pay taxes on their winnings because gambling activities don’t fall under the category of a constant source of income. However, tax laws in Canada can change frequently, so it’s important to keep up to date with any changes.

Slot Machine Winnings Taxes in Australia

In Australia, the government doesn’t see profits from gambling activities as income, but rather as a result of good luck. Gambling is also not treated as a profession in Australia. Instead, the government taxes casino operators and lottery organizers. Taxes on winnings vary from state to state.

Slot Machine Winnings Taxes in New Zealand

In New Zealand, slot machine winnings (and other casino game winnings) are considered taxable income if you don’t have much income from other sources. However, it’s rare for winnings to be taxed in New Zealand since gambling is usually considered recreational and not income.


In summary, whether or not you need to pay taxes on your slot machine winnings depends on where you live and if you’re a professional gambler. It’s always a good idea to stay up to date with any changes in tax laws in your country. In the USA, slot machine winnings taxes are a significant consideration, while in the UK, players can enjoy their winnings tax-free. In Canada, Australia, and New Zealand, taxes on slot machine winnings depend on the player’s status as a professional or recreational gambler. Always make sure to keep accurate records of your gambling activities and consult with a tax professional if you have any questions or concerns about your winnings and potential tax liabilities.