Taxes on winnings in 2021

Changes were made due to changes in legislation on January 14, 2020.

When receiving a valuable prize or winning a lottery, the winner must pay tax. The amount and procedure for payment depends on many factors, such as the type of lottery, the value of the prize, etc. In the article we will talk about what winnings are taxed, how to pay the fee to the budget, and also use examples to look at calculating tax in various situations.

Winnings in lotteries

Surely everyone has purchased a lottery ticket at least once in their life. But few people know that, having received the coveted “jackpot”, part of the amount will have to be donated to the budget. Below is the calculation and conditions for paying tax for so-called risk lotteries, in which you need to pay a certain fee to participate (for example, buy a lottery ticket).

Tax rate

What is the tax on lottery winnings? The bet is 13% of the total winnings. The winner can fulfill his obligations to the budget in one of the following ways: submit a declaration and pay the tax in the general manner, or receive income from the lottery service minus the fee.

A lottery participant must pay tax if the winnings range from 4,000 rubles. up to 15,000 rub. When the winnings are less than 4,000 rubles, then there is a complete exemption from tax. If 15,000 rub. or more, the tax is paid by the lottery operator.

The rules for drawing some lotteries provide for the terms of payment of the winnings to the winner minus the budget payment. In this case, the lottery service assumes full responsibility for tax obligations. The winner has no choice but to receive the “net” amount due. If the organizer transfers funds to the budget independently, then this information must be indicated in the conditions of the lottery (as a rule, it is posted on the official website of the organization).

With a winning amount of 15 thousand rubles. and more, the lottery organizer is obliged to deal with tax issues. And up to this amount is at his discretion. The lottery service has the right to refuse tax red tape. This means that the responsibility for paying a fee on income received is less than 15 thousand rubles. lies with the owner of the winning lottery ticket.

Declaration of winnings and payment of tax

If you received a cash win in the range of more than 4,000 rubles. and less than 15,000 rubles, then you first need to declare it. It is necessary to submit a declaration in form 3-NDFL in the general manner - before April 30 of the current year for the past year. That is, if you hit the jackpot in 2021, then by April 30, 2021, you need to submit a declaration to any Federal Tax Service, in which you indicate:

• your personal data (full name, tax identification number, registration address, etc.);
• the amount of winnings received;
• calculation and amount of personal income tax, which is subject to payment to the budget (13% of the winnings).

The declaration can be submitted in any way convenient for you:

• obtain a document form from the tax office and fill it out on site according to the sample;
• download the form on the Internet (on the Federal Tax Service website), print it and fill it out at home. Then send it by mail with a description of the attachment and a delivery notification;
• register on the official website of the Federal Tax Service. Next, fill out the form and send it electronically using the “Personal Account” service.

The first method remains the most common so far.
In addition, if errors or inaccuracies are made, the tax officer will point them out. You can then correct or supplement the information on the spot. But lately, tax authorities have been trying to refuse to accept declarations filled out in hand. If you are unable to visit the tax office in person, use postal services: send the document by letter with a notification and include an inventory in the envelope. Having received the envelope, the fiscal service employee will check the presence of documents with the inventory. Then acceptance is complete. The notification stub that you will receive by mail will serve as confirmation that you have submitted the declaration.

To simplify the procedure for filing a declaration for personal income tax payers, there is a special electronic resource. Thanks to which you can fill out and send a declaration without leaving your home. To do this, you need to go to the Federal Tax Service website, register and gain access to your “Personal Account”. Through this service, the declaration is filled out using visual cues, and sent via email. You will also receive information about the acceptance of the document by the Federal Tax Service by e-mail.

By submitting your declaration on time, take care of the timely transfer of tax to the budget. For income received, deductions must be transferred before July 15 of the next year (that is, for 2020 - before July 15, 2021). When paying in cash or by credit card, keep payment documents (receipt, payment order, bank statement). If any disputes arise with the fiscal service, they will serve as confirmation that you have fulfilled your tax obligations.

Example No. 1: 05/23/2019 Matveev L.D. purchased a “Russian Lotto” ticket and won 13,600 rubles. Let's calculate how much tax Matveev must pay? Since this is a lottery based on risk, and participation in it requires financial investments in the form of purchasing a ticket, Matveev is obliged to transfer 13% to the state: 13,600 * 13% = 1,768 rubles.

The terms of the Russian Lotto stipulate that the fee is paid by the winner, so Matveev must declare income by 04/30/2020, and pay the fee by 07/15/2020.

At the same time, 4000 rubles. (the limit up to which is exempt from tax) is not deducted from the amount of winnings (tax base), which is multiplied by the tax rate (13%).

Winner of a lottery where the winning amount was up to 4,000 rubles. or more than 15,000 rub. does not submit a declaration. When the winning amount is 4 thousand rubles. no tax is paid at all. If there were several winnings and for each lottery the amount did not exceed 4 thousand rubles, but for the tax year (from January 1 to December 31) the amount of prize payments exceeded the 4 thousand limit, then a tax burden arises.

For example , Sintsov A.A. I won three times in the TV lottery during 2019. In drawing No. 23 of 02.20.2018, the amount is 3,500 rubles, in drawing No. 144 of 05.31.2019 - 2,300 rubles. and drawing No. 322 of September 10, 2019 - 2500 rubles. All income was in different editions, for which there was no excess of 4 thousand rubles, but the total amount for the year was 8,300 rubles, so personal income tax will have to be paid. In this case, the base is determined by subtracting the tax-free limit (RUB 4,000) from total income. That is, as in our case, the tax is paid in the amount of 559 rubles. ((8300 – 4000) X13%).

If the amount is more than 15 thousand rubles , then the tax is generated and paid by the lottery organizer, subtracting the corresponding amount from the winnings. We are talking about one draw here. But there may be several tickets in this drawing.

Exception. If the amount of income is more than 15,000 rubles. arose over the entire year from several winnings (the value of each was up to 14,999 rubles), then the citizen who won the lotteries must submit a declaration himself and pay the money to the budget himself. In this case, the cost of lottery tickets is not deducted from income.

Tax on; win in; lottery in; Russia: how and how much to pay

Definitely yes, if the winner is a non-resident of the Russian Federation. But there is one more nuance. All lotteries in our country today are exclusively state-owned. This area is supervised by the Ministries of Sports and Finance of the Russian Federation. They have entered into a contract with large operators who organize and conduct drawings, distribute tickets and pay out winnings of various sizes.

Often it is the person himself who has to deal with tax issues on winnings. Then, in addition to the pleasant gift, he receives additional care. Especially if you won not a sum of money, but, for example, a car, while there is simply no free money for tax at a rate based on its value.

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Prizes in promotions

Quite often, large shopping centers and hypermarkets give away valuable prizes and gifts to customers. These events are called incentive lotteries, their goal is to increase the loyalty of existing customers and attract new customers.

Are winnings in such promotions taxable? Yes, having received a cash reward or product, you, as the winner of the drawing, are required to transfer part of its cost to the budget. The tax rate in this case is 35% . Moreover, if the winnings are less than 4,000 rubles, then they are taxed at a rate of 0%, that is, nothing needs to be transferred to the budget. The same amount (4,000) is deducted from the base when taxing other prizes (see example below).

If you win a cash prize, then you do not need to declare income, because according to the law, all obligations to pay the fee are assumed by the organizers of the events. “In your hands” you receive a “gift” in the form of 65% of the total amount.

A different situation arises when the prize in the promotion is a material thing - household appliances, real estate, a car. Since you do not receive any funds in your hands, you will have to declare income and pay the fee yourself. The basis for taxation is the value of the winnings, which is documented by the organizer of the promotion.

If you think that the hypermarket has inflated the cost of the TV you won (washing machine, car, etc.), then you have the right to turn to the services of an appraiser. For a fee, specialists from an independent company will evaluate the winnings and draw up a report indicating the actual market value of the prize. Tax must be calculated from this amount. The appraisal act itself will serve as confirmation of the price of the goods if questions arise from the Federal Tax Service. Please note that it is advisable to contact an appraiser if you receive a large prize (apartment, car, etc.), since in this case you incur additional costs for the company’s services. Submission of the declaration and payment of funds to the budget is carried out in the general manner and according to the deadlines described above.

Example No. 2: In March 2021 Stepanov V.L. I purchased a mobile phone from the Techno Paradise store. In April 2021, Techno Paradise held a TV draw among its customers, the winner of which was Stepanov. The cost of the TV is 21,300 rubles. Let's calculate how much winnings Stepanov must pay to the budget?

As you know, winnings up to 4,000 per year are not taxed. Therefore, Stepanov will pay the fee from the amount minus 4,000: 21,300 – 4,000 = 17,300.

The fee is paid at a rate of 35%, Stepanov will pay to the budget: 17.300 * 35% = 6.055

You should not hope that the tax service will not find out about such a win. The Tax Code obliges the distributor of prizes to provide the tax office with information about the recipient of the prize and the impossibility of withholding tax on it. Therefore, most likely, the Federal Tax Service has information about a potential taxpayer from whom the tax authorities expect a declaration and payment of tax.

Tax on winnings - payment details

If you need to clarify information or obtain up-to-date information on paying tax on winnings, you should refer to the Tax Code of the Russian Federation, Article 228. Please note that not only lotteries, but also gambling, sweepstakes, etc., are subject to tax on winnings, regardless of whether this organization is private or not.

In the event that the payment of tax is assigned to the winner, and he, in turn, did not deposit the funds in a timely manner, the lottery winner receives a fine, the minimum amount is 100 rubles.

As for lotteries from large retail chains, when drawings of money and prizes are made between customer checks, and the goal is to attract as many customers as possible, then winnings from such a lottery are not subject to tax on winnings if the amount is less than 4.0 thousand rubles. If the winnings amount to a large amount (it does not matter whether it is money or the value of the prize), then a tax on winnings is levied at a rate of 35% on the difference in the value of the prize/winnings and 4.0 thousand rubles. Tax on winnings is paid by the winner himself. However, when winning a cash gift, a situation is possible when the retail chain pays the tax itself, and the winner receives a “net” win.

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A won prize, for example a car, can be donated only after payment of the due tax amount and subsequent registration of ownership.

Bookmakers

One of the organizers of gambling is bookmakers. Their visitors can bet on the outcome of certain sports competitions. Having won on sports bets, you do not have to burden yourself with filling out a declaration and transferring the fee. The bookmaker withholds and transfers funds to the budget from the amount of 15 thousand rubles. and more . You receive “net” income minus deductions. If the winnings are less than 15 thousand rubles. The winner declares income and pays tax themselves. Since sports betting is a risky game, winnings at a bookmaker are subject to a 13% .

A feature of the taxation of such income is that the tax base is reduced by the amount of the bet made - this is a deduction. That is, the 13% fee is calculated not from the entire winnings, but from the difference between the bookmaker's winnings and the previously placed bet.

Example No. 3: Vorobiev F.D. is a client of the bookmaker "Sport Igra". In June 2021, Vorobiev placed a bet on the result of the Russia-Wales football match in the amount of 324 rubles. The result of the match was correctly predicted by Vorobyov, so he won 32,400 rubles.

Let’s find out on what amount of winnings the tax will be calculated and how much Vorobyov will receive as income. Since the fee is not the entire amount of money won, but minus the bet, then 13% must be calculated from 32.076 (32.400 - 324). The Sports Game office will pay tax in the amount of 4.169 (32.076 * 13%). Vorobyov will receive 28.231 (32.400 – 4.169).

Winning up to 4000 rub. bookmakers are also tax-free. The tax base for winnings in gambling is determined by the arithmetic operation “win” - “bookmaker’s bet”. This specificity of determining income differs from winnings in lotteries, where the cost of the ticket is not deducted.

If you win an apartment in the lottery, what is the tax?

P from the amount of winnings for the year. If not, the monetary part before personal income tax payment is equal to 536,308 R, if deducted - 538,462 R “w> The size of the monetary part depends on whether you have already deducted 4,000 R from the amount of winnings for the year. If not, the monetary part before personal income tax payment is equal to 536,308 RUR, if deducted - 538,462 RUR. The rules say that more than 50% of the amount will be withheld from the monetary part. Then it turns out that more than 50% is 100%

Winning a car. The bet depends not on what exactly you won, but on what you played. If the car was received as a result of participation in a competition or show of a non-advertising nature, you need to pay 13% of its cost. If received as a prize in a promotion - 35%.

May 01, 2021 klasterlaw 79

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Gambling in casinos

The lucky ones who managed to hit the jackpot at the casino are required to pay a fee of 13% of the tax base. It is defined as follows: the value of the casino chips is minus the payment received.

The gambling establishment must provide the tax office with information about the value of chips and winnings by a specific player in the aggregate for the tax year. This data is recorded during cash transactions in the casino.

Afterwards, the tax office will independently determine the amount of tax and send the citizen a notification.

The taxpayer must make the payment no later than 01.12 of the year following the year in which the winnings occurred.

A rather controversial situation arises with the income received from playing in online casinos. On the one hand, this type of gambling does not belong to the territorial zones provided for by law, and therefore is prohibited. But any administrative or criminal liability for playing in online casinos is not provided for players. And the income received must be declared in the general manner with the subsequent payment of a tax of 13%. The receipt of income is not the date of the winning itself, but the day when the funds arrived on the electronic wallet (bank card) of the winner.

Example No. 4: December 21, 2021 Kondratyev S.T. won the amount of 74,613 rubles at the Split online casino. The money arrived in Kondratiev’s account on January 13, 2021. How is this winnings taxed?

Since Kondratyev received the money on January 13, 2020, he is required to file a declaration for 2021. Kondatiev must fill out and submit the document to the Federal Tax Service by April 30, 2021. Kondratyev must transfer the fee by July 15, 2021 in the amount of 9,699 rubles. (74.613 * 13%).

Example No. 5: Visitor to the Oracle casino Khomyakov D.L. placed a bet of 1,840 rubles. and won 1,420,600 rubles. Since the size of the bet made does not affect the tax base, Khomyakov must pay the fee in the full amount of 184,687 (1,420,600 * 13%).

Foreign lotteries

Quite often, citizens of the Russian Federation purchase tickets for foreign lotteries, hoping for a large currency win. It is important for players of foreign lotteries to know that the winner will need to pay tax at the rate accepted in the organizing country. That is, if you play the lottery in Spain, then you are obliged to give 20% of the income received to the Spanish budget. However, amounts up to 2,500 euros are not subject to taxation.

The tax rate of winnings for lottery participants in different countries differs significantly from the Russian Federation, both up and down. When playing in Italy, you will have to pay 6%, in the Czech Republic - 20%, in Bulgaria - 5%. American lotteries are subject to the highest tax – 25%. This fee is federal and may increase depending on the state in which the ticket was purchased. You will have to pay an additional 25% in Michigan (4.35%), Illinois (3%), New Jersey (10.8%).

In some countries there is no tax on lottery winnings. Such countries include Australia, Germany, Great Britain, Finland.

The winner of a foreign lottery pays tax to the organizing country only if an agreement on the absence of double taxation has been concluded with this country. If there is no such agreement, then you will have to pay the fee twice - at the domestic (13%) and foreign rate. True, such cases are quite rare - the corresponding agreements have been concluded with the majority of developed countries.

Responsibility for non-payment of tax

What threatens a violator who has not declared income in the prescribed manner and does not pay tax on time:

1. The main liability for tax evasion is a fine of 20% of the tax amount. If the court proves that you knew about the need to pay and did not fulfill your tax obligations intentionally, then you will have to pay a 40% fine.
2. For each day of late payment of the fee, a penalty is charged. It is defined as follows: P = 7.75% (key rate of the Central Bank of the Russian Federation) / 300. The penalty is calculated from the day following the date of payment (in general, from July 16) until the moment you repay the debt. True, the amount of the penalty cannot be greater than the amount of the debt.
3. If you have not declared your income, there is also a fine for this. It is 5% for each month of delay and is calculated in the same way as a penalty - from the month following the month when you were supposed to submit the document to the Federal Tax Service (from May of the year following the reporting year - in general order), until the moment the paper is actually submitted to the fiscal service . You should know that the fine cannot be more than 30% of the tax amount and less than 1000 rubles.

The Federal Tax Service can compulsorily collect the main debt, as well as any fines and penalties that have arisen, on the basis of a court decision or even by its own decision. One of the ways of collection is to withhold the debt from the violator’s salary. First, the corresponding writ of execution or a bailiff's resolution is submitted to the employer's accounting department.

Don't forget about criminal liability. If you owe the budget more than 900,000 (this is possible if you win large sums), then the court may impose a measure in the form of arrest for up to a year (or a fine of 100,000 - 300,000).

Example No. 6: In 2021 Soldatov N.G. won 84,610 rubles in the lottery in Russia. Soldatov received all the money “in his hands.” Soldiers were overdue for declaring income (until April 30, 2019) and paying the fee (until July 15, 2019). On October 31, 2019, Soldatov filed a declaration and paid the fee of 10,941 (84,160 * 13%) on the same day. In addition to the debt, Soldatov paid:

• The fine for violation of tax obligations is 2,188 (10,941 * 20%).
• Penalty for late payment is 3.83 (10.941 * 7.5% / 300), in total for 108 days (from 07.16.2019 to 10.31.2019) - 414 (108 * 3.83).
• The fine for late declaration is 547 for each month (10.941 * 5%), for a total of 6 months 3.282 (231 * 6 months).

In total, Soldatov will pay 14,637 (10,941 + 414 + 3,282) to the budget.