New Zealand law does not allow domestic companies to operate online casinos within the country. The Gambling Act 2003 clearly prohibits local businesses or operators from offering online casino gaming to New Zealand residents.
However, no laws state that playing at offshore online casinos is illegal. Offshore casinos with recognized international licenses can legally offer services to NZ players, but they are not regulated by the New Zealand government.
These casinos are not based in New Zealand but accept NZ players and often support NZD deposits, local payment methods, and customer service for Kiwi users.
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Gambling Trends & Expenditures in NZ
New Zealand’s Department of Internal Affairs is in charge of gambling regulations. State-owned institutions and organizations own the biggest proportion of the gambling industry.
Communities in the country are considered to be the primary stakeholder group. A portion of profits from public gambling is required to be turned over to communities in New Zealand.
Community interests include groups for whom gambling activities raise funds, gamblers, and organizations that provide services and research on the social effects of gambling.
State-owned institutions operate the largest proportion of the gambling industry. Expenditure on gambling (losses experienced by players) was $NZ 2.034 billion in 2008 ($NZ 480 per capita), a tenfold increase over 1985 figures.
Are Online Casinos Legal In New Zealand?
If you want to know the answer to “Are online casinos legal in New Zealand?”, then no, it’s not legal. But there’s a saying that it is legal to play at offshore gambling sites.
However, it would be wrong to predict this, as the New Zealand government neither has any law prohibiting players from playing at offshore online casinos nor any laws permitting it.
So, while New Zealand law does not explicitly legalize it, there are certain statements and laws by the government that support offshore casino gaming.
The key thing to know is that advertising these overseas casinos within New Zealand is not allowed, and there’s a penalty of $5,000 for each offence. So, big names like Bet365 and PokerStars can’t advertise on TV, in newspapers, or elsewhere in New Zealand.
However, using these international casino websites is not a crime for players. So, while New Zealand-based online casinos are not allowed, Kiwi players can enjoy their favourite games on international sites without legal trouble.
Suggested read – Do online pokies payout? How do I choose a reliable online casino in NZ?
New Offshore Gambling Duty
New Zealand government has introduced a New Offshore Gambling Duty in March 2024. This new duty, which takes effect on 1 July 2024, requires offshore gambling operators to pay an additional 12% tax on gross betting revenue, on top of the existing GST (Goods and Services Tax).
On the first hand New Zealand law does not allow domestic companies to operate online casinos within the country but the introduction of the offshore gambling duty confirms that offshore casinos can legally offer their services to NZ players, but with stricter taxes.
This duty is 12% on gross betting revenue, in addition to the existing GST (approximately 13%), bringing the total tax burden to 25% for offshore gaming operators.
The law acknowledges the legality of offshore sites linked to New Zealand casinos, subjecting them to the new tax.
Recognizing Offshore Casino Legality:
The law explicitly acknowledges offshore gambling sites, including those linked to NZ-based land casinos, making them subject to the 12% offshore gambling duty.
This indirectly confirms that playing at these sites remains legal for NZ players.
Increased Regulation & Taxation:
- Previously, offshore casinos only paid GST (around 13%).
- Starting 1 July 2024, they must pay 25% in total taxes (GST + offshore gambling duty).
- This move suggests the NZ government is tightening control over offshore gambling rather than banning it.
Gambling Act of New Zealand
The Gambling Act of 2003 is the main law that controls gambling in New Zealand. Its main job is to ensure that communities get some good things from the money they make and that gambling doesn’t cause too many bad problems. Even though gambling is prevalent in New Zealand, the government watches over it very carefully.
The first big casino opened in 1994, and because gambling became very big, they made the Gambling Act of 2003 to ensure everything was fair and safe.
The Gambling Act of 2003 (this link is to the most recent version) is the primary law that regulates gambling in New Zealand. Sections 22 and 23 cover cases where no gambling license is required.
Reading Section 22 one can interpret running poker tournaments, betting pools, housie (bingo), or other forms of gambling other than machines, where no cut (rake) is taken and the prize is under $500 as considered Class 1 Gambling in New Zealand. This is fully legal and no license is required. Section 22 defines Class 2 Gambling, which is mostly for organizations, charities, and certain businesses.
The objectives of the Gambling Act of 2003 are:
- Ensure that money from gambling benefits the community
- Facilitate community involvement in decisions about the provision of gambling
- Moderate the growth of gambling in New Zealand.
- Minimise the adverse effects caused by gambling, including problem gambling
- Authorise some gambling and prohibit the rest
- Facilitate responsible gambling
- Ensure the fairness and integrity of games
- Limit opportunities for crime and dishonesty associated with gambling
Suggested read – Things to Know About Provably Fair Gambling
Casinos License
In New Zealand, online casinos cannot obtain a local license to operate legally within the country. However, many offshore casinos target Kiwi players by obtaining licenses from international gaming authorities.
These offshore licenses impose certain regulations, but they are not issued by New Zealand and do not make a casino legal under NZ law. The legitimacy of offshore casinos is a gray area, and players should be cautious.
Here are some examples of these authorities:
- Malta Gaming Authority: It is well-known for ensuring that casinos are fair and secure.
- Gibraltar Gambling Commissioner: They watch over casinos in Gibraltar and have strict rules.
- Isle of Man Gambling Supervision Commission: This commission licenses and monitors online casinos, focusing on protecting players.
- Curaçao Gaming Control Board: Many casinos seek a license from Curaçao. The board ensures that casinos meet certain standards.
To check if an online casino is legit in New Zealand, look for its license info at the bottom of its website or app. If you can’t find it easily, that’s a big warning sign.
However, just having an offshore license does not mean the casino is officially recognized or regulated under New Zealand law. If licensing information is missing or difficult to verify, that’s a red flag.
Read more on A Guide To Choose The Best Online Casino For Poker Machines.
Player’s Rights
Players in New Zealand have certain rights and protections when they engage in online casino gaming. Here are some player’s rights at online casinos in NZ:
- Fair Games: You should expect that the games are fair and not rigged. It means you have a fair chance to win.
- Privacy: Your personal information should be kept safe. The casino shouldn’t share it without your permission.
- Responsible Gambling: You can choose to gamble responsibly. Casinos must help you if you feel you’re gambling too much.
- Clear Rules: The casino should clearly state the rules, especially regarding bonuses and withdrawing winnings.
- Customer Support: If you need help, the casino should have people you can talk to. They should answer your questions.
- Safe Payments: You should get your money when you win, and the casino should use safe payment methods.
- Complaints: If you have a problem, you can ask for help.
- Age Check: The casino should ensure you’re old enough to gamble.
- Licensed Casinos: Play only at casinos that have a license. It shows they follow the rules.
- Access to Information: You can see your game history, like how much you’ve bet and won.
Remember, knowing your rights and choosing a trusted casino when you play online in New Zealand is essential.
Criteria for Determining Legitimacy of Online Casinos in NZ
Online casinos cannot legally operate from within New Zealand, but New Zealanders can play at offshore online casinos since there are no laws prohibiting them from doing so.
DIA does not regulate any online casino that operates in New Zealand. However, even if you are playing at an offshore casino, you need to make sure that the casino where you are playing is safe to invest your real money.
Some points must be considered to ensure a safe gambling experience when regulating or checking whether these online casinos are legal in New Zealand.
These points of consideration include
- Reputation—An online casino’s legitimacy is significantly influenced by its reputation. The casino should have a good standing with both customers and industry insiders.
- Quality of software – The online casino’s software should be of the finest quality and free of bugs or other problems that might interfere with gaming.
- Licensing and regulations – Only when an online casino meets all the requirements of the 2003 Gambling Act and obtains the necessary MGA and eCOGRA licences can it be legal in New Zealand.
- Security of financial transactions – Various payment options, including crypto, bitcoin, credit or debit cards, and e-wallets like Skrill, Neteller, and many more, allow NZ players to deposit or withdraw their money at online casinos. Online casinos should use secure payment methods to safeguard players’ financial information. This includes storing confidential data securely and using encryption to protect transactions.
These are some of the criteria used by the Department of Internal Affairs (DIA) in New Zealand to determine the legitimacy of online casinos operating in the country.
Legal Games to Play in New Zealand
Gambling in New Zealand is regulated and divided into four classes, each requiring a specific government license. Maximum prize amounts and turnover limits vary by class.
Players must be at least 20 years old to enter land-based casinos but can participate in sports betting (including horse racing), scratch cards, and lotteries from age 18.
The following are the only legal gambling options available within New Zealand through licensed operators:
1. Horse Racing & Sports Betting
Horse racing and sports betting are legal and regulated in New Zealand, but they must be conducted through authorized operators.
Bookmaking was illegal until 1920, and from then until 1961, betting on horse racing was only allowed on-course. Today, TAB NZ (Totalizator Agency Board) is the only licensed provider of sports and racing betting in the country. TAB operates both physical betting terminals across New Zealand and an official online platform.
2. Lotteries
Lotteries have been legal in New Zealand since 1933, with the first national lottery, “Art Unions.” The New Zealand Lotteries Commission was established in 1987 to oversee legal lottery games such as Lotto, Keno, and Instant Kiwi scratch cards.
Lotto tickets have been available online since 2000, but only through the official MyLotto website. Any other online lottery or offshore provider is not legally authorized to operate in New Zealand.
3. Pokies (Slot Machines)
Pokies are legal but strictly regulated in New Zealand. These machines can only be operated by licensed venues, including land-based casinos, hotels, and bars.
- The Department of Internal Affairs (DIA) oversees pokie machine regulations.
- Casinos in New Zealand, such as SkyCity Auckland, must have a government license to operate pokies.
- Since 2009, all pokies must include Player Information Displays (PIDs), which track playing time, losses, and encourage breaks.
While offshore online casinos offer pokies, they are not licensed within New Zealand, making their legal status unclear.
Current Laws and Amendments for New Zealand’s Gambling Industry
- Gambling Amendment Act (No 2) 2015
- Gambling Amendment Act 2015
- Gambling Amendment Act 2005
- Gambling Act 2003 – the Gambling Act 2003 repeals the Casino Control Act 1990 and the Gaming and Lotteries Act 1977 and integrates them into a single Act. Racing continues to be administered under the Racing Act 2003 (with some exceptions, such as gaming machine operations in TABs and racing clubs)
Regulatory Agency Roles
The Department of Internal Affairs
- Administers gambling legislation
- License gambling activities (except for casino gambling)
- Ensures compliance with the legislation
- Provides public information and education
- Funds and coordinates problem gambling services
- Recently, it finalised its Preventing and Minimising Gambling Harm, three-year Service Plan 2011-2013, and its six-year Strategic Plan 2011-2016.
- Considers and determines applications for casino operators’ licenses and the renewal of casino venue licenses
- Approves agreements and changes to agreements between casino operators and casino venue license holders
- Considers and deals with complaints about the way the Department of Internal Affairs has handled complaints about Class 4 gambling
- Specifies, varies, and revokes casino license conditions
- Advises Ministers and facilitates consultation on the setting of the problem gambling levy
- Considers and determines appeals against regulatory and licensing decisions made by the Department of Internal Affairs
Licensing & Regulation of Gambling in New Zealand
The Department of Internal Affairs (DIA), which again controls all gambling in New Zealand, states this clear as day. This is available on their page on prohibited gambling activity:
“The prohibition is on remote interactive gambling in New Zealand and therefore does not prohibit gambling conducted overseas. For example, it is not illegal for someone in New Zealand to participate in gambling over the Internet if that website is based overseas.”
New Zealand law does not allow companies and residents here to offer in-play betting, casino games, pokies (slots), housie (bingo), and online poker.
Only the NZ lottery and TAB (for sports gambling and horse race betting) are available online. However, many overseas websites, such as www.bet365.com – based in the UK – offer online betting in New Zealand.
Bet365 sports covers the entire world, including New Zealand, and there is a casino, slots, poker, and bingo. They even offer accounts in New Zealand Dollars (NZD).
Bet365 is only one of many websites New Zealanders use to bet online. This is why gambling per capita is impossible to tally – the government cannot track overseas online betting, which is very popular here.
The law is clear that as long as the player is of age, there are no laws prohibiting New Zealanders from playing at online casinos based elsewhere.
That means you can enjoy all the top casino games, such as keno, craps, poker, video poker, blackjack, baccarat, roulette, keno, and slots (pokies), any time you want.
If you are a Problem Gambler?
A Problem gambler is a person who is addicted to gambling. New Zealanders have many resources available to help overcome problem gambling. The Problem Gambling Foundation of New Zealand offers gambling addiction helplines, counselling, and support groups.
Those seeking help (or looking to help someone else) can also find a variety of educational materials, meeting times, and locations on the organization’s site at pgfnz.org.nz. The Gambling Helpline New Zealand ( http://www.gamblinghelpline.co.nz ) is another excellent resource that offers similar services.
FAQs
What safety and security steps exist at New Zealand’s online casinos?
Online Casinos in New Zealand allow users to access safe gambling in New Zealand by using safe payment options, encryptions, responsible gambling, licensing, and more.
How does the new offshore gambling duty affect online casinos in NZ?
The 12% offshore gambling duty applies to foreign casinos but doesn’t change their legality. They remain unregulated by NZ authorities, so players should choose licensed, reputable sites.
What gambling is prohibited in New Zealand?
The Gambling Act 2003 bans:
- NZ-based online casinos (except TAB and Lotto NZ).
- Unlicensed gaming machines outside approved venues.
- Private, unregulated lotteries.
Are offshore online casinos legal in NZ?
Yes, NZ players can gamble on offshore sites, but these casinos aren’t regulated by NZ laws, so protections are limited. Choose licensed sites for safety.
How does the new offshore gambling duty impact NZ players and casinos?
The new offshore gambling duty allows NZ players to continue playing legally. However, some casinos may adjust fees, reduce bonuses, or exit the market. Operators might pass tax costs onto players through lower payouts, higher fees, or stricter deposit/withdrawal conditions.
Are my winnings from online gambling taxable in New Zealand?
Generally, no. Gambling winnings are not regarded as tax in New Zealand and are not taxed. However, if you play for a living, you might have to pay taxes on your earnings.
How do online casinos ensure fair play?
Online casinos use random number generators (RNGs) to decide game results. Outside businesses routinely audited these RNGs to ensure they are impartial and fair.
The strict rules governing game fairness and player security must be followed by legally operating online casinos.