Producer, the 'winners' have already paid their tax, with the revenue generated from their bets. The tax is distributed. All you are proposing is that the payout from gambling be reduced by 50% (or whatever), which would actually reduce the incentive and probably reduce the revenue generated.

As for money laundering, that is bye the bye. The money generated is obviously tax-free, but after being pumped through various gambling establishments, gets taxed. But that's a separate issue.

percule/quote..<<..The problem that all gamblers have is that they are innumerate.>>

im not sure about that
how much is a winning bet worth?
a winning bet..is like cash..in the bank.
we know crims launder..their illgotten gain/buy bying 'winning' tickets.

slo yes there is a case/to clawback..based..on print/or dna evidence
any bet..cashed-in..after..a certain..'time'/past post time..pays a 25%..late fee/just to check-out..the paper work..[its not tested/till a formal complaint..is lodged.

we know what they do
we need tax them..at the point where its used
a simple state based treansaction tax/and our service charges could return to sustainable levels[but the plan=we are mortgauged/to the hilt..in state-debt..and do as the bankers tell our govt to do.

the debt=great leverage/on the former govt band war debt
the bankers looted the gold/silver from our coin[turned treury buildings into casino's[that too sell winning chips.or rather sell chips/to launder their 'ill gotten gains

its all matters of high treason
only hrh martial law..can restore these vile treasons.

Producer you are obviously too sensible to gamble but this is not a good idea. The government get plenty out of gambling already. Stop that and it will again go underground and the government will get less.
I agree with most of the posters here it certainly is a mug's game. Real problem is the same as drugs, people WANT to do it and that's the real problem.

Hasbeen – You said

<< He had plenty of money, & paid no tax>>

That in itself is reason enough to tax winnings

JBowyer – I disagree with your logic. Tax on winnings is practiced in other jurisdictions; we are the exception not the rule.

It would not be possible to have underground pokies of any scale nor would it be possible to launder money on an underground system.

A tax on winnings does not hurt a poor winner, a tax on the poor’s income and services does!

They will never tax wins at races etc its a tax loophole for the wealthy, just like the recent change to superannuation contributions by taking away the excess tax on large singular contributions they have given a large tax loophole for the wealthy, The wealthy I class as anyone who can deposit single contributions above $100.000 and up into the million dollar mark at a time !

Not convinced, Producer.

>>Tax on winnings is practiced in other jurisdictions; we are the exception not the rule.<<

The US includes winnings as earnings when a citizen reports their income for tax purposes. But you can also offset losses.

"Gambling income plus your job income (and any other income) equals your total income. Fortunately, you do not necessarily have to pay taxes on all your winnings. Instead, if you itemize, you can offset taxes owed on your winnings by reporting any losses you incurred as well."

http://blog.turbotax.intuit.com/2012/03/30/how-are-gambling-winnings-taxed/

The trick is, of course, that you can only offset your losses to the extent that you have winnings! Clever, eh?

The UK does not tax gambling in any form. They even refute that there is a thing called a professional gambler:

"But I do not think that you can find, in his case, any conception arising in which his individual operations can be said to be merged in the way that particular operations are merged in the conception of a trade."

And that's the taxman talking!

http://www.hmrc.gov.uk/manuals/bimmanual/bim22017.htm

In fact I haven't yet found a jurisdiction that taxes gambling, as such. Do you have an example that supports your assertion that we are the odd man out in this?