Tax on Gambling Winnings in Poland: The 10% Rule, Exemptions and Operator Duties

Players and operators alike ask how gambling winnings are taxed in Poland, and the answer has two sides: a relatively simple rule for winnings from licensed operators and a much less favourable position for winnings from unlicensed sites. Here is how the system works and what it means for operators as withholding agents.

The flat-rate tax

Winnings from competitions, games and mutual betting are subject to a flat-rate personal income tax of 10% of the winnings under the Polish PIT Act. The tax is withheld by the payer, meaning the operator, at the moment of payout, and the player does not need to declare it separately. This applies to winnings from licensed Polish operators and, under the exemption rules, extends to operators licensed in other EU and EEA states.

The exemption threshold

Winnings from mutual betting, cash lotteries, promotional lotteries, audiotele lotteries and certain games organised under the Gambling Act are exempt from tax up to a statutory threshold per single winning. Winnings from casino games, slot machines, bingo and card games organised by licensed operators are exempt in full. For winnings above the threshold from betting and lotteries, the 10% tax is applied to the whole amount, not just the excess.

Winnings from EU and EEA operators

The exemption applies to winnings from games organised by entities authorised under the laws of an EU or EEA member state. This means a Polish resident winning at a Malta-licensed operator is, in principle, in the same position as one winning at a Polish licensed operator for tax purposes, provided the game was lawfully organised. However, participation in online casino games not permitted in Poland raises separate questions under the Gambling Act and the Fiscal Penal Code that the tax exemption does not resolve.

Winnings from unlicensed operators

Winnings from operators outside the EU/EEA or from unlicensed gambling are not covered by the exemption and are taxable in full as income from other sources at progressive rates, with the player responsible for declaring them. Combined with the fiscal-penal exposure for participating in unlicensed gambling, this makes offshore play considerably less attractive than the odds suggest.

Operator obligations

Licensed operators act as withholding agents: they must calculate and withhold the 10% tax on taxable winnings, remit it to the tax office by the statutory deadline and file annual declarations. Getting the threshold logic and the treatment of combined bets, bonuses and free bets right is a recurring source of tax disputes, and the platform should apply the rules automatically.

Practical notes

Operators entering the Polish market should build withholding into payout flows from day one and document the treatment of edge cases. Players should keep records of winnings from foreign operators.

Our corporate and tax structuring team advises operators on withholding obligations and players on the tax treatment of winnings.