This is the main reason why many gamblers and traders hate to pay the taxes. In my country, there is a strict rule to pay 30% of the withdrawals as tax. No matter if you win or lose, if you made withdrawals at any exchange to your bank account, you are forced to pay the taxes. For this reason many gamblers and traders are using decentralized exchanges to cash out their money. If the tax was limited to 3-5%, then everyone would have shown support to pay the taxes, but anything above 10% is too much.