Last December, the government of Ontario put online gambling on hold to the disappointment of many people. There is optimism that the Province will establish its first commercial casino site early this year.
On the other hand, Sports fans won’t be able to bet on the Super Bowl in time. Meanwhile, here’s a brief rundown of Ontario’s online casino industry.
1. An Ontario Provincial Casino Site was Launched in 2015
A local casino site is currently operating in the Province of Ontario. Launched in late 2015, it is not yet regulated under the OLG banner but falls under Gaming Laboratories International (GLI).
The GLI allows for legal gambling on its website by following specific rules and regulations. The site offers a variety of slots, scratch cards, and video poker machines.
It also features blackjack, roulette, baccarat, dice games, fixed-odds sports betting (betting on any single race or sporting event), poker games in the form of Texas hold ’em, and Omaha hi/lo, plus much more. Players may also wager on horse racing no more than twice a day, except on Pot of Gold races.
The regulations regarding gambling in Ontario are straightforward on the Province’s website. You must create weekly spending limits and register an account. You may use a credit card or bank account to deposit and withdraw funds. But you must not exceed your weekly bankroll.
2. It is Legal for Ontario Citizens to Play at Offshore Casinos
According to the Alcohol and Gaming Commission of Ontario (AGCO), it is legal for certified players who are physically located inside the Province to play at offshore casino sites.
The AGCO regulates all forms of gaming in the Province except online games. It currently licenses several land-based casinos in Ontario, which you can learn more about on its website.
Ontario is working hard to compete with offshore casinos. However, the sector has yet to be commercialized. Even so, it may not produce the necessary progressive regulations to match the high standards of casino services provided outside of Canada.
3. There are Two Proposed iGaming Regulators in Ontario
Ontario chose to regulate online casinos through the Alcohol and Gaming Commission of Ontario (AGCO), in direct contrast to what many people believed. Since September, the organization has been accepting private investment applications.
AGCO will run gaming operations across the Province, but it has a new subsidiary focused on private companies. The company set up iGaming Ontario to handle and oversee the activities of all casinos with personal licenses.
4. Ontario Will Not Tax Gambling Wins
The Province confirmed that it would not tax gambling wins at offshore casinos. It expects to generate around $500 million in annual revenue if the proposals are approved, which might explain why Ontario has opted not to introduce its tax on casino winnings.
If the laws do not change, gamblers in Ontario may win millions of dollars without paying taxes. Few countries or provinces have such generous legislation.
The United Kingdom is the only other well-known exception. Gambling winnings in the United Kingdom are not taxed unless a gambler is a professional. Most states in the United States charge taxes on gambling wins of up to 25%.
5. There will be a Comprehensive Regulation on iGaming in the Province
Ontario is likely to introduce specific online gaming regulations by 2022, according to a senior official from the Government of Ontario. The Province is currently working with regulators and other contributors to draft a comprehensive bill for all forms of online gaming, including poker and sports wagering.
Various associations are pushing for new laws on online gambling throughout the Province. Once these are completed, Canada’s second-most populous Province will have legislation governing all games of chance offered at offshore casinos. It means gamblers within the Province will no longer have to worry about legal troubles when they play on foreign sites, similar to what is happening in Manitoba currently.
It is excellent news because renowned developers such as NetEnt, Microgaming, and BTG may soon operate legally in Ontario. Banking service providers are another iGaming-related business that requires licensing.
The goal is to eliminate unsafe digital wallets from providing services in Ontario. Naturally, this means that the danger of losing your money to a fraud e-wallet or illicit casino will be minimal.
Oddsmakers, test labs, and sports integrity monitoring organizations are among the other businesses that must obtain a license in Ontario. In other words, the Province aims to create a secure and fair gaming environment for all participants.
Wrap Up
The Province of Ontario has a massive gambling market. It is the second-largest commercial casino market in Canada. There are many legalities involved with online gambling within the Province. Players who live in or visit Ontario need to understand these laws before making any wagers online.
Ontario is attracted to regulating the industry by imposing licensing requirements across all iGaming companies, thereby preventing companies from obtaining licenses outside Canada. The Province’s goal is for everyone within its borders to engage with responsible operators that are independently regulated.