Posted on 11/30/2008 12:02:18 PM PST by wac3rd
If you think that tax policies on gambling winnings in the U.S are excessive, then you better take a look at this. According to several gaming and poker news sites, the 2008 World Series of Poker Main Event champion, Peter Eastgate, will have to honor the Danish tax authorities with about 63% of his tournament winnings. The Danish government, which has one of the toughest tax policies on casino winnings in the world, will apply a 40% deduction on the first $4 million won by Eastgate, and a second 75% deduction on the remaining funds. So if we do the math, from the $9.1 million won by Eastgate, a total of $3.675.000 will go to the 22-year old player while the remaining $5.425.000 will go to the Danish tax authorities.
Eastgate took home the top prize of $9.1 million in the Main Event, but after the Danish government applies its tax deductions, Eastgate will keep about 37% of the prize paid. Eastgate was aware that something like this would happen and during the four-month break established by the WSOP officials, the Danish player attempted to move to England and set a residency there in his effort to ease any possible tax deductions on his winnings. English gambling tax law is set at 40% of winnings, but as it’s been being reported by several gaming news sites, Eastgate's chances to evade his tax responsibilities with the Danish authorities are less than few.
Russian player and Main Event Runner up, Ivan Demidov, will walk away with more money in his pocket than the 2008 WSOP Main Event champ, Demidov won a total of $5.8 million for the second place, and since the tax rate in Russia is fixed at 15%, he will only have to pay the tax authorities about $750,000 (snip)
(Excerpt) Read more at wedoitallvegas.com ...
It is a shame Leo Donofrio wasn’t there. He beat like 607 players in Atlantic City. Why bother when you have to give up so much in taxes. Denmark is a nice place and the Danes are nice people but their taxes are BS.
Well, there’s the news: Russia (a) has a flat tax; and (b) it’s only 15%.
What a weird world. The former Soviet Union has a lower tax rate than the U.S.
-ccm
I’d be content to never set foot in Demark again, and hang on to a higher percentage of my winnings.
No, the US earns nothing on foreigners, just 35% Federal an whatever your state tax is...most are Nevada residents, no state tax, where CA is 10%.
I’ve been to some of these socialist ‘’paradises’’,,the man on the street barely survives till he gets a pension, then continues barely surviving until,,,,,?
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