Gaming providers based in the Netherlands are obligated to withhold taxes on gambling winnings. The players themselves are not tax liable. By contrast, players are personally liable for winnings obtained in foreign countries.
This distinction makes it likely that foreign winnings are taxed more heavily than domestic gains, according to a recently published decision of the Dutch Supreme Court.
The resulting distinction in tax liability regarding foreign and domestic winnings is a violation of the principle of the free movement of services within the EU, the Court further found.
Consequently, the Dutch Internal Revenue Service may no longer tax any gambling winnings obtained from providers based within the EU.
Related article: Dutch regulator issues fines over unlicensed activity
 Gambling Winnings Obtained in Other EU-Countries){kind=link}