Winners of the second and third prizes, as well as the “Big One” in the Christmas Lottery draw, They will have to allocate 20 percent of the profit to tax public property, Taking into account that the first 40,000 Euros are exempt.
All awards organized by State Lottery and Betting Society (Selae), As the Tax Office reminds on its website, those exceeding 40,000 euros, including the special Christmas raffle this Friday, will be subject to a special tax payment.
This tax is applied in the form of withholding, meaning that Selae itself will deduct the relevant tax – whether it is a tenth, a fraction or a lottery coupon – from the prize at the time of payment, so that the winners do not have to carry it. apart from any procedure.additional.
According to current regulations, all prizes worth less than 40,000 euros will be exempt from special lottery tax, while prizes exceeding this amount will have to pay a 20% fee for the part exceeding this figure, in addition to determining the winner.
For example, If the “big one” with 400,000 euros is won, the first 40,000 euros will be exempt The remaining 360,000 euros are taxed, so 72,000 euros remain with the Treasury and 328,000 euros remain with the winner.
Same way, 85,000 euros will be taxed on the second prize worth 125,000 euros will not be exempt, so the Treasury will keep 17,000 euros and the winner will keep 108,000 euros.
Winners of the third prize (50,000 euros) will have to pay a tax of 2,000 euros and keep 48,000 euros, while the remaining prizes will be exempt as they do not reach 40,000 euros.
The Tax Office explains that when prizes are shared with friends or family, the tax-free 40,000 euros must be distributed in proportion to each person’s participation.
The person responsible for this task will appear as the sole beneficiary or collection manager and must be able to prove to the tax office that the distribution was made and identify all winners.
Since 2013, prizes from State Lotteries, autonomous communities, National Spanish Organization for the Blind (ONCE), Spanish Red Cross and similar European organizations that exceed a certain threshold are taxed at 20%.
This threshold has varied over the years: until 2017 it was 2,500 euros and then increased to 10,000 euros in 2018, 20,000 euros in 2019 and 40,000 euros from 2020. In 2022, the special lottery tax collected 364 million euros.
Christmas Lottery 2023
On 22 December you will be able to check whether your tenth ticket has been awarded and the full results of the 2023 Christmas Lottery.