Report: Serbia is a Safe Haven for Games of Chance - Winnings Nontaxable

Gambling industry (Pexels)

Serbia is a safe haven for gamblers and bettors as no tax is paid on winnings, monthly business and financial magazine Biznis I Finansije has reported.

“If you work in Serbia, you have to pay an income tax. If you gamble or bet, you will not pay a single dinar on your winnings And that is completely legal, because under the Serbian legislation, all winnings from games of chance up to the amount of around EUR1,200 are not subject to taxes. Meanwhile, winnings from casinos, betting shops or slot machines are absolutely nontaxable. Theoretically speaking, whoever wins EUR100 million, they take home the exact same amount,” according to the magazine.

The Law on personal income tax prescribes a 20 percent tax on all gains exceeding the tax-free amount. However, under the Law on Games of Chance, this applies only to classic games of chance organized by the state lottery company Drzavna Lutrija Srbije, which include lottery, sports betting, tombola, bingo, and similar games. Special games of chance organized by private betting and gambling shops and casinos are completely tax-exempt. 

An analysis of Plum Mark agency shows that each of the 5.5 million adult citizens in Serbia on average spends almost RSD26,000 dinars on gambling and betting annually. In 2024, the industry raked in around EUR1.2 billion in revenues, and a net profit of nearly EUR140 million. The revenues of top ten gambling and betting shops have increased by more than four times in nominal terms since 2012.

Expert Marko Pastar says he analyzed the topic and was very surprised by how little the public is conversant with this information. Pastar’s conclusion indicates that tax legislation in Serbia directly encourages gambling. “Serbia is specific in this domain. I have not analyzed all European countries, but I have not found a single place where taxes are not paid on such winnings, or at least some portion,” he said.