Online poker is popular the world over, and this is true of Australia and New Zealand as much as anywhere else. Unfortunately, the laws around online gambling have meant that online poker is outlawed in many countries.
- Online Poker Legal New Zealand State
- Online Poker Legal New Zealand State
- Online Gambling Laws New Zealand
Online gambling is internet-based gambling, and the games include casinos, poker and sports betting. There are many varieties of online gambling, and all of them require the use of a mobile device or computer with an internet connection. It was first introduced in 1994. If you live in New Zealand, it’s legal to play at an online casino or poker room that’s located OUTSIDE of New Zealand. It is also illegal to play games for real money at any kind of online casino or online poker room that’s located IN New Zealand. Sports betting in New Zealand is different. It’s legal, but it’s also regulated.
As a player you don’t want to run the risk of incurring penalties for engaging in illegal online activities, so it’s important to be aware of gambling regulations for the country you’re playing in. The laws are different across different countries, and even in different states or territories within a single country, and this can make it extremely confusing.
Recent changes to gambling legislation in Australia have meant that the issue is even more fraught than it was before. Due to new laws brought in during 2016, a number of online poker operators have left the Australian market, blocking Aussie players from accessing their site.
So are you breaking the law if you play online poker from Australia or New Zealand?
What is the Interactive Gambling Amendment Bill?
The Interactive Gambling Amendment Bill of 2016 came into being in Australia late in 2016 and it closed loopholes that allowed live sports betting, in play betting and online poker to be played online. Punters who want to bet on a game that is already started can still do so over the phone but the loopholes that allowed sports betting companies to offer in play betting through ‘click to call’ services have now been closed.
How does it affect online poker in Australia?
Online poker looks set to be banned along with other forms of online gambling, if legislation that’s before the senate in Australia gets passed. This is looking highly likely at the time of writing. Under the new laws, unlicensed operators of online poker sites will be banned, but considering there is no framework in place at the moment to actually apply for and get a licence to offer online gambling services, this effectively means the death of online poker in Australia.
Fortunately, online poker in New Zealand is not likely to suffer the same fate. Kiwi players can relax, as it is currently perfectly legal to play poker online in New Zealand. Online gambling is licensed and controlled by the Department of Internal Affairs. It’s divided into different classes depending on the level of prize money on offer.
It’s not legal, however for operators within New Zealand to offer online poker services to residents of New Zealand. All online gambling services need to be provided by the TAB or NZ Racing board. The law does not explicitly state that overseas operators are banned from providing their services to NZ players.
What’s the problem with banning online poker?
Australia and New Zealand have a thriving poker community, both online and offline and it’s unlikely that banning online poker will stop people playing. What is likely to happen instead is that punters will turn to overseas sites using a VPN or choosing a site that doesn’t block Australian players. Unfortunately doing this means that Australian players are at risk of playing at unregulated sites and this can have a number of unfortunate consequences.
With no regulation or licencing for online poker sites, the government also has no way of controlling or overseeing the poker sites to make sure they are operating fairly and honestly. This means players are at greater risk of being defrauded or ripped off and will have no legal recourse for compensation when they do.
When playing casino games at online casinos you do not have to worry about your legality in enjoying and gambling at the casino websites. It is because online gambling is legal in New Zealand and you can log on into any of your favourite online casinos and enjoy games without anything to worry about legal aspect of gaming and gambling.
New Zealand players are welcome to play on most of the online gaming websites and as per the Gambling Act 2003, it is not illegal for someone in New Zealand to participate in gambling over the Internet if that website is based overseas.
Department of Internal Affairs- Gambling controller in New Zealand
All kind of gambling in New Zealand is controlled by the Department of Internal Affairs. All public gambling is expected to return a portion of profits to the community. The largest proportion of the gambling industry is operated by state-owned institutions.
The Department of Internal Affairs casino and non-casino gambling services help keep gambling in New Zealand fair and honest. The Gambling Compliance Group audits and investigates non-casino gaming activities, licenses all non-casino gaming and issues certificates of approval for casino employees. The casino inspectorate regulates all casino gaming activities.
Current and Previous Laws
Like all countries, New Zealand has a long history of gambling legislation detailing the legality of different forms of gambling from the Gaming and Lotteries Act of 1977, the Boxing and Wrestling Act of 1981, the Racing Act of 2003, and the Gambling Act of 2003– which best covers questions related to the legality of online casino gambling.
From understanding of this Act, its wording itself, and the generally accepted interpretation, it is quite clear that, “it is not illegal for someone in New Zealand to participate in gambling over the Internet if that website is based overseas.”
What has perhaps caused some confusion on the matter is Section 9(2)(b) of the Gambling Act 2003 which prohibits remote interactive gambling at gaming sites that are operated from within New Zealand.
The Act, however, does not explicitly prohibit players from playing at online casinos whose servers are in another country.
Amendments to the Gambling Act 2003
The Gambling Act of 2003 has been amended twice to-date. First in 2005 and in March 2015. Neither of these amendments seem to have had any impact on the day-to-day rights of New Zealanders to play online.
Six important facts about New Zealand’s gambling laws
1. No liability for players
The terms of the Gambling Act 2003 are very clear—it is not explicitly prohibited nor explicitly illegal for a player living in New Zealand to play at an online casino that is based overseas. Therefore, at the time of writing, players are at no risk of any form of prosecution if they choose to gamble at a casino hosted outside of New Zealand.
2. Gambling winnings are exempt from taxation
There is no provision in the guidelines issued by Inland Revenue that relate specifically to winnings from online gambling. The guidelines do, however, make mention of income from gaming machines i.e., land-based pokies, stating that “all gaming machine income is exempt from income tax.”
This is because Inland Revenue considers that for most people, online gambling is a hobby or a pastime as opposed to a profession, and accordingly, any profits garnered aren’t regarded as taxable income. This, of course, is subject to change, and it’s always worth consulting an accountant before you get on with a major win!
3. Sports Betting
Online sports betting in New Zealand is controlled by the New Zealand Racing Board, which is the sole provider of racing and sports betting services through the TAB – a statutory national monopoly. However, international online sportsbooks fall into the same category as online casinos and so any sportsbook that is run from outside of New Zealand should likewise be able to take bets from New Zealanders.
Most Popular Betting Markets in New Zealand are the Rugby Union, Cricket, Football and Netball.
Netball, played almost exclusively by women in New Zealand, has also enjoyed a high profile in the country due to the success of its national team, the Silver Ferns, and the introduction of the trans-Tasman ANZ Championship in 2008. Cricket, netball and rugby union betting markets are all widely available at best online bookmakers (as long as they’re based overseas).
Rugby union betting markets for domestic games aren’t as prevalent as they are for international matches, but bookmakers still offer markets for all Super Rugby games. Of the four main types of gambling in New Zealand, sports (and horse racing) betting is actually the least prominent, bringing in $NZ 286 million in 2012, compared to $NZ 850 million from pokies.
4. Playing Poker
The same laws are in place with regards to online poker rooms as online casinos—it is neither prohibited nor illegal for a New Zealand player to play online poker at a site housed outside of New Zealand.
5. Playing Lotteries
The first “Art Union” was conducted in New Zealand by the Otago Art Society in December 1877. Both individuals and organizations subsequently used them as a way of raising funds. The first national lotteries were established in 1933. They were known as “Art Unions”.
Prizes were relatively small, and in the early Art Unions the prizes were quantities of alluvial gold. The low returns tempted many people to (illegally) purchase tickets in overseas lotteries such as the Australian Tattersall’s lottery. With Art Union sales declining, a review of lotteries was undertaken by the Second Labour Government in the late 1950s, and in 1961 the National Government introduced the Golden Kiwi lottery.
The New Zealand Lotteries Commission was established in 1987. Its original product, Lotto, has since been supplemented by Instant Kiwiscratch cards, daily Keno and a Lotto variant named Big Wednesday. Lotto tickets became available online in 2008.
6. Playing Pokies
Much like the Aussie neighbours, Kiwis are fond of land-based slot machines, or ‘pokies’, as they are referred to in local slang. Charitable foundations first introduced these into bars and hotels in 1987, and since then, the number of machines has risen to over 19,000 across the country.
Land casinos are also popular gambling venues, with the country’s six casinos taking in over $NZ 500 million in 2012. Since 1 July 2009, all machines have Player Information Displays, which inform the gambler how long they have been playing, how much they have lost, and which encourage them to take breaks. You can enjoy pokies machines at online casinos that are regulated overseas.
Regulatory boards monitoring online casinos
Within New Zealand, numerous regulatory agencies monitor gambling – both online and offline. These include the Department of Internal Affairs (responsible for administering gambling legislation), the Ministry of Health (responsible for preventing problem gambling and protecting those afflicted), and the Gambling Commission (responsible for issuing and renewing licenses for casino operators).
Keep in mind, none of these bodies will cover you for gambling online – except perhaps the Ministry of Health, who you can always turn to, if needed.
Playing at an international online casino i.e., one based outside of New Zealand, means that in the case of fraud, unfair practices or any other issues, you will be subject to the legal system of the country that hosts the site, not New Zealand law.
However, this doesn’t mean that players are without protection. All of the online casinos are accredited by the gaming authorities of their respective countries, and the relevant documentation and certification can be found on their sites.
Online Poker Legal New Zealand State
In addition, all of the reputed casinos are independently audited by a third-party agency, who certifies the casino in terms of the fairness of its games, the security of its operations, and the transparency of its financial dealings with players.
Two such agencies that certify such online casinos are eCOGRA, a London-based testing agency and player protection organisation, and TST (part of GLI), which verifies that casinos comply with relevant regulatory requirements and the best industry standards worldwide.
Online Poker Legal New Zealand State
Note that you must be18 years old to place a bet with the TAB or bet at the horse racing tracks and the legal age to enter any casino in New Zealand is 20 years.
Therefore online gambling for New Zealand players, is not illegal and till date no one has ever been prosecuted for gambling in offshore sites. But remember, laws much like governments themselves are subject to change and you need to keep yourself updated from the latest gambling laws from time to time.