Understanding the Spanish Christmas Lottery and Its Tax Implications for Expats
As the festive season approaches, the excitement around the Spanish Christmas Lottery, known as "LoterĂa de Navidad" or "El Gordo," reaches its peak. For expats living in Spain, participating in this tradition can be both thrilling and confusing, especially when it comes to the tax implications.
The Tradition of El Gordo
The Spanish Christmas Lottery is a centuries-old tradition that dates back to 1771, initiated by King Charles III. It is drawn annually on December 22nd at the Teatro Real de Madrid, with the winning numbers sung by schoolchildren from the San Ildefonso school. This event is a national spectacle, bringing the entire country to a standstill as people eagerly await the results[1][2].
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