Spain aims to require disclosure of gambling winnings under €300

The Ministry of Finance wants to amend tax rules on gambling winnings.

Spain.- The Spanish government’s Ministry of Finance is seeking to amend tax rules to require the disclosure of gambling winnings of under €300. It said it aims to “fix a deficiency” in the rules on income declarations submitted to the national tax agency AEAT.

It wants to amend tax model 190 on personal income declarations for business, economic, gambling and capital gains to require the declaration of prizes of under €300. The current tax code defines two types of gambling declarations, one for winning from state-controlled lotteries like ONCE and SELAE and a second for winnings from privately operated casino gaming and sports betting.

Spain levies a 20 per cent tax on lottery winnings of over €2,500, while sports betting and casino winnings are subject to a four-tier structure of retentions. That system has a base rate of 19 per cent for winnings of up to €12,450. The subsequent tiers charge 24 per cent on winnings of €12,450-to-€20,200, 30 per cent on €20,200 to €35,200 and 37 per cent on all amounts above that. Until now, winnings of under €300 did not need to be disclosed.

The changes would take effect for the current tax year, for which declarations will be made in 2023.