Gambling revenue taxation in BETSITI
In Russia, winnings from betting with bookmakers like Betcity are subject to personal income tax. Here's a breakdown of how taxation works on Betcity winnings and general Russian gambling taxes.
Tax-free threshold: Winnings below 4,000 rubles are exempt from tax.
Tax rate for residents: 13% on winnings exceeding 4,000 rubles.
Tax rate for non-residents: 30%.
Obligation: Taxpayers must declare and pay taxes on taxable gambling profits.
This framework applies broadly to bookmakers operating legally in Russia, including Betcity. If the betting winnings exceed the threshold, the bettor is responsible for paying the tax, typically declared in their annual income tax return. Bookmakers might not withhold the tax automatically, placing the onus on the player.
If a client's winnings exceed ₽15,000, BC Betcity will automatically deduct the 13% tax from the winnings. For clean income from bets between ₽4,001 and ₽15,000, the client must personally fill out the tax return and send it through the online tax office by April 30.
Non-payment of NDFP can lead to administrative or criminal liability and may also reduce the bettor's reputation in the eyes of bookmakers, potentially leading to reduced limits on transfers or bets.
BC Betcity offers sports betting, virtual online entertainment in the "Quick Games" section, and various bonuses for newcomers. Financial transactions between bookmakers and their clients are monitored by the Unified Payment Identification System (UPIS).
If a client withdraws a smaller amount, they are obliged to pay the 13% tax independently by April 30 and submit a 3-NDFL declaration through their taxpayer's account. Bettors can contact the BetCity BC support service by phone 8 800 100 74 75 or by email [email protected] to order a tax return form 3-NDFL.
BC Betcity was founded in 2003 and received an official license from the Russian Federal Tax Service in 2009. It's important to note that no detailed tiered rates for different profit amounts beyond the 4,000 rubles threshold are specified, indicating a flat tax rate system rather than multiple brackets.
Non-residents of Russia are taxed at 30%. This aligns with the Russian tax code treatment of gambling winnings and does not mention multiple tax brackets or progressive rates for different amounts of profits.
Personal-finance management is crucial for bettors using Betcity, as winnings from bookmakers are subject to income tax in Russia. For instance, if a non-resident's winnings exceed ₽4,000, they will be taxed at a rate of 30%, while residents will pay 13% on winnings over the same threshold. This tax is payable by the individual, as bookmakers might not automatically withhold the tax.
