Is There Tax on Lotto in South Africa?
The lottery bonus in South Africa has no taxes. Although SA Lotto has won the amount, it is still considered tax -free income. South African lottery winners are also particularly exempt from capital gains tax.This means that lottery winnings are tax-free.
This is a huge advantage for South Africa as many international lotteries tax their winners. However, there is one notable exception to South African tax law. Van Jaarsveld says, “But if the lottery or gambling is ordinary and can be classified as such, then the winnings are included in your gross income and taxed as ordinary income.”
- Were Slaves in South Africa?
- Is Yohimbe Legal in South Africa?
- Is Witchcraft Real in South Africa?
- Is Uber Safe in South Africa?
- Is There Trouble in South Africa?
In other words, you can say that this is a portion of your “regular” winnings if you first win money from your regular lottery winnings and then win the jackpot. As with any other source of income, you are required to report lottery income and jackpot winnings to SARS.
For claims of RN50,000 or more, winners are required to provide details, proof of identity, proof of bank details or 3 months bank statement on the back of the ticket. Winners will receive personal injury counselling and financial counselling. All winnings will be credited to your bank account within 72 hours.
