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Do You Pay Tax on Casino Winnings in Italy? ADM vs. Foreign Operators

Whether you owe personal tax on a casino win in Italy depends on where the operator is authorised — and the real rule is not a simple ADM-vs-everyone-else split. Italian law draws a three-way distinction: Italy, the rest of the EU/EEA, and everywhere outside it.

By Elie Bizimana

ADM-Licensed Casinos: Operator-Level Tax, Not Personal Withholding

At an ADM-licensed operator, the operator itself pays gambling tax directly to the state on its gross gaming revenue — through the PREU (Prelievo Erariale Unico) for slots and VLTs, or a GGR-based tax for live casino, poker and table games. This is an operator-level tax obligation, distinct from personal income-tax withholding on an individual player’s balance. The practical effect for a player is the same either way: no separate declaration is required for winnings from an ADM-licensed operator.

The EU/EEA Exemption Most Guides Miss

Article 69, comma 1-bis of the TUIR (Italy’s consolidated income tax code), added by Legge 122/2016, extends the same tax-free treatment to winnings paid by a gaming establishment (“casa da gioco”) properly authorised in another EU member state or an EEA state — not just Italy. This followed a 2014 Court of Justice of the EU ruling (joined cases C-344/13 and C-367/13) that found Italy’s earlier rule, which taxed only foreign winnings and not domestic ones, unlawfully discriminatory under EU law. The Cassazione has since confirmed this principle repeatedly, including in ordinanza 13038/2021.

Extra-EU/EEA Winnings: General Taxable Regime

Winnings falling within Article 67, comma 1, letter d) of the TUIR — generally, winnings from a gaming establishment authorised outside the EU/EEA — are included in taxable income at their full amount under Article 69, with no deduction for losses. Case law addressing extra-EU/EEA winnings, including poker tournament winnings from the United States and Monaco, has generally supported this taxable treatment, though the precise scope and any treaty-based exceptions for specific countries remain a genuinely technical, evolving area of Italian tax jurisprudence rather than a single settled rule covering every situation.

Demonstrating Where a Win Came From

A taxpayer claiming EU/EEA treatment should be able to demonstrate that the relevant gaming establishment was properly authorised within the EU or EEA, if the tax treatment is ever questioned. Keeping records of which specific licence an operator held at the time you played — not just its brand name — is genuinely useful documentation to retain, given how much the outcome depends on that fact.

Why This Still Comes Back to Verifying Licensing Status

The practical lesson is the same one that runs through this whole section: knowing an operator’s actual, current, specific licensing status — Italian, EU/EEA, or neither — is what determines your tax position, not general assumptions about “foreign” versus “Italian” casinos. Given how technical and fact-specific this area is, a significant win from an unusual jurisdiction is a case for a tax professional rather than a general rule to self-apply.

Frequently Asked Questions

Do I need to declare winnings from an ADM-licensed Italian casino?

No. The operator pays gambling tax directly to the state on its revenue, and no separate declaration is required from the player.

Do I need to declare winnings from a foreign casino?

It depends on where the operator is authorised. Winnings from a gaming establishment properly authorised in another EU or EEA state are also exempt under Article 69, comma 1-bis TUIR. Winnings from establishments outside the EU/EEA generally fall within the taxable Article 67(d) regime.

Can I offset gambling losses against taxable winnings?

No. Winnings falling within the taxable Article 67/69 regime are declared for their full gross amount, with no deduction for losses incurred on the same platform in the same period.

Who has to prove a win qualifies for EU/EEA tax treatment?

The taxpayer. If questioned, you should be able to demonstrate the operator was properly authorised within the EU or EEA at the time you played.

Is the tax treatment the same for every country outside the EU/EEA?

Not necessarily. Case-specific and treaty-related factors can affect the outcome for particular countries, so unusual cross-border situations are worth checking with a tax professional rather than applying a single general rule.