Denmark is well-known for having one of the most heavy-handed taxation codes of any country in the EU. Peter Eastgate who took down $9.1 million when he won the WSOP last November, was taxed at a 45% rate for the first $4 million he earned and at 75% for the remainder of the money, leaving the youngest WSOP champion ever with an estimated $2.5 million in prize money.
The Danish Supreme Court ruled that a 35 year old unemployed man who had been making a living as an online poker player, would have to be taxed as a "professional gambler", similar to the tax rate of Peter Eastgate. Over the past year, he allegedly earned around €26,000 from playing at several online poker sites.
The Supreme Court did, however, refuse to enforce the DKK 5000 fine (€670) issued by a lower court, his resulting tax bill ends up at €11,700.
Rafi "refaelamit" Amit, who has generated millions of dollars' worth of winnings in online and live tournaments, has been ordered to pay income tax for his year 2007 earnings. The Income Tax Authority claim that Amit was an Israeli resident for the year in question. Even though he did not meet the minimum required days to qualify as a resident in the country, he still needs to pay income tax.
