Do you have to pay taxes after a National Lottery win?

Congratulations, you’re the lucky winner of a big lottery prize! After the party is done, it’s time for serious business. Not everyone can keep the total amount of prize money because a gambling tax has to be paid. Is this also the case for the National Lottery?

No gambling tax
There are a lot of reasons to participate in the National Lottery. First of all, it donates a lot of money to charity. Second, the National Lottery doesn’t have a gambling tax. The Chief Financial Officer of the National Lottery explains that winners receive the net amount of money. They don’t have to mention it on their tax declaration.

There’s a catch though, because you do need to pay taxes for interest. Imagine that you’re the lucky Lotto winner of 800.000 euros. You decide to bring 400.000 dollars to the bank. Be aware of the fact that there is a tax for the interest of this 400.000 euros.