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New Zealand’s Online Casino Shake-Up: Key Changes Coming

door | 14 jun, 2024 | Playfina.info_June

I mean, there just can’t be that many NZ residents playing at online gambling sites. But the penalty for individuals who promote offshore gambling sites will remain capped at $10,000, which Froude believes is not enough. She said gambling on these sites does come with added risk, which is why the government is looking to increase the number of licensed casinos.

Minister van Velden did not provide details about this yet, but it is expected to come up in the future. We need to update our laws for today’s digital world and future proof them as much as possible. Work is underway to develop a safe, regulated online gambling system for New Zealand that keeps people safe, allows only trusted providers to participate in the market, and contributes to the community. The government might experience a challenge trying to license and tax offshore casinos. Legalization will improve the iGaming experience by introducing safe and reliable operators.

Summary of submissions report from public consultation

Some operators exist in New Zealand to take http://playfina.info/ advantage of unsuspecting players. She has written 100+ casino reviews, tips and guides to help Kiwis make the right choice. Amy also writes and proofreads articles on topics related to online gambling in New Zealand. The tax money goes toward programs that assist people who struggle with gambling. The New Zealand online casino market is currently something of a gray area.

Changing face of gambling in New Zealand

At the moment, New Zealand laws do not prohibit residents from playing at offshore gambling sites. However, New Zealand is not getting any taxes from these sites, and that’s what the National Party aims to enforce and regulate. The offshore tax duty is likely to bring big changes for online casino operators. These changes mean casinos might become quite expensive and offer fewer options, but the funds support safer gambling. Regulated online casinos are coming to New Zealand for the first time, with platforms expected to launch in early 2026.

It goes without saying that the first of these will be that the law becomes clear-cut for anyone who wants to play in an online casino. The regulatory body will also be able to provide real peace of mind that, to gain a license, the online casino in question will need to be run to the very highest standards. It said it would use IP geoblocking to blacklist any uncooperative platforms. While advertising will be possible once operators follow strict guidelines, they won’t be able to get involved in sponsorship. Online casino games also will need to be kept separate from other popular gambling products like sports betting and the lottery. Licensed operators will be allowed to engage in advertising, which is currently banned in the country, though strict restrictions will remain in place.

why are online casinos banned in New Zealand

Ahead of the election, the two parties clashed over the subject of offshore gambling revenue. National also criticised how goods and services tax (GST) was not being collected from the entire black market. It said it would force online casino operators to register and report their earnings. Under the new proposals, every online casino operator in New Zealand will have to pay taxes to the government. Those who want a piece of the regulated online gambling market in NZ will have to play by the new rules.

This will change under the new framework, as these gambling sites will become illegal. The internet gaming sector in New Zealand is about to undergo a major transition. In order to replace the present uncontrolled environment that is dominated by offshore operators, the government has announced plans to implement a regulated licensing system. By taking this action, tax income that was www.wikidata.org previously lost to overseas platforms will be recovered and a safer gambling environment will be created. For the first time, licensed operators in NZ will be allowed to advertise, but they will have to meet very strict rules.

The new licenses that will be up for grabs will be capped and awarded through an auction process, with each permit remaining valid for three years before renewal is necessary. The Department of Internal Affairs will become the de facto regulator of the industry. Other recent developments before the change in government include major reforms within horse racing. In August 2020, TAB New Zealand took charge of the country’s horse racing industry. The new administration has since vowed to energize the nation’s housing and rental markets, increase infrastructure investment, reform the justice system and cut taxes. In August and September 2019, the Department consulted publicly on the discussion document and sought New Zealanders views on the future of online gambling.

  • The government aims to create enticing gambling laws to attract the best online casinos in the country.
  • Work is underway to develop a safe, regulated online gambling system for New Zealand that keeps people safe, allows only trusted providers to participate in the market, and contributes to the community.
  • There are many estimates out there, but no one can say for sure just how many NZ residents use offshore gambling sites.
  • The hoops to jump include integrity, harm minimization standards, financial solvency, compliance history in New Zealand, key person checks, and transparency of ownership.
  • This is illegal and the Department of Internal Affairs is cracking down on users involved in this.
  • Sports betting and lottery must not be offered alongside icasino, the New Zealand government said.

Māori were three times more likely to be moderate-risk or problem gamblers than non-Māori, according to the Ministry of Health. In June 2024, the Federal Court of Australia ordered SkyCity to pay a A$67m penalty for AML/CTF failings in its Adelaide casino. However, Labour disputed these figures, saying GST generates around $40m per year. New Zealand has collected GST at a rate of 15% on services and intangibles supplied remotely by an offshore supplier since October 2016.

The Department is conducting a review into online gambling in New Zealand. Like brands without licences, a casino without a reliable customer support team should be avoided at all costs, as it reflects how much the casino values its players. To help you make the right choice, here are key factors to consider when selecting an online casino. This new act states that anyone over 18 can participate in horse racing, scratch betting, and sports betting.

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