Austria Gambling Tax: Are Winnings Taxable? (2026 Guide)

How Austria Taxes Gambling Winnings

Austria provides favorable treatment for recreational gamblers, with a clear separation between player winnings and operator taxes.

The headline: Gambling winnings are generally tax-free for Austrian players using licensed operators.

Austria's Gambling Tax System

Austria distinguishes between operator taxes and player taxes:

Operator taxation:

• Operators pay taxes on their revenue
• Sports betting: 2% turnover tax
• Online casino: Up to 40% of gross gaming revenue
• Slot machines: Various state taxes

Player taxation:

• Recreational players: Tax-free winnings
• Professional gamblers: Income tax applies

Tax-Free Winnings: The Rules

For your winnings to be tax-free:

1. Use licensed operators (Austrian or EU-licensed)
2. Gamble recreationally (not as a profession)
3. Austrian tax resident

If these conditions are met, you pay no tax on gambling winnings, regardless of the amount.

Licensed Operators in Austria

Austria has a mixed licensing system:

Federal licenses (nationwide online):

• Only one online casino license exists (currently win2day by Casinos Austria)
• Sports betting has a more open market

State licenses (Landesgesetze): Sports betting is regulated at the state level, allowing multiple operators:

• bet-at-home
• bwin
• Interwetten
• tipp3 (via Casinos Austria)
• Bet365 (EU license accepted)
• Unibet
• Many others

EU passporting: Operators licensed in EU/EEA countries can offer services to Austrians under EU law, though the Austrian market position is complex.

Sports Betting Tax Structure

While players don't pay tax, there's a 2% turnover tax on sports betting:

Who pays: The operator Rate: 2% of total stakes Impact: Often factored into odds

This means Austrian odds may be marginally less competitive than some other markets, but your winnings remain tax-free.

Professional Gambling

If gambling is your profession, winnings become taxable:

Criteria for professional status:

• Gambling is your primary income source
• Systematic, regular betting activity
• Specialized knowledge or systems
• Significant time investment

Tax treatment:

• Income tax (Einkommensteuer) applies
• Progressive rates from 0% to 55%
• Can deduct gambling-related expenses
• Must register as self-employed (Einzelunternehmer)

Important: Austrian tax authorities (Finanzamt) rarely classify individuals as professional gamblers. Even consistent winners typically remain recreational.

Record-Keeping

Though recreational winnings are tax-free, keep records:

Recommended documentation:

• Betting history from operators
• Deposit and withdrawal records
• Screenshots of operator licenses
• Bank statements showing gambling transactions

Why bother:

• Prove source of funds if questioned
• Track your performance
• Evidence for disputes
• Protection if rules change

EU-Licensed Operators

Austria's relationship with EU-licensed operators is nuanced:

Current situation:

• Players can legally use EU-licensed operators
• These operators technically need Austrian licenses
• Enforcement focuses on operators, not players

Tax treatment:

• Winnings from EU-licensed operators remain tax-free for players
• No reporting required
• Same treatment as Austrian-licensed operators

Popular EU-licensed options:

• bet365 (Gibraltar/UK)
• Unibet (Malta)
• Betway (Malta)
• William Hill (Gibraltar)

Value Betting and Arbitrage in Austria

Austria's tax-free environment is favorable for systematic betting:

Advantages:

• Keep 100% of profits
• No withholding tax
• No threshold limits
• Wide operator choice

Practical considerations:

• 2% turnover tax reduces odds slightly
• Good access to EU-licensed books
• No legal issues using multiple operators
• Arbitrage fully viable

Comparison:

Austria vs. Neighboring Countries

Austria ranks among Europe's most favorable jurisdictions for bettors.

Key Takeaways

1. Gambling winnings are tax-free for recreational Austrian bettors
2. Operators pay the taxes (2% turnover on sports betting)
3. Use licensed operators (Austrian or EU) for full protection
4. Professional gamblers face income tax (rare classification)
5. No reporting required for recreational winnings
6. Austria is favorable for value betting and arbitrage

This guide is for informational purposes. For personal tax advice, consult an Austrian tax professional (Steuerberater).