The Legal Aspects of Online Casino Bonuses

Hailey Campbell

Casino expert

Updated:
The Legal Aspects of Online Casino Bonuses

The popularity of online casinos is rapidly increasing. Learn how to make the most out of it by understanding the legal aspects of online casino bonuses.

Canadian Gambling Laws and Regulations

In 1900, all forms of gambling were prohibited in Canada. Fast forward to 2023, and there are over 19.3 million active gamblers in the country. However, the “Criminal code of Canada” states that gambling is legal only if a provincial government manages it.

Federal vs. Provincial Laws

Since gambling in Canada is only legal for provincial governments that conduct it within their own province, no federal gambling law is involved.

Canada’s provincial regulations differ, so let’s take a deeper look at each province’s regulations.

Province Gambling regulations

Alberta

The Alberta Gaming, Liquor, and Cannabis Commission is in charge of licensing gambling providers. Only religious and charitable organizations can register.

British Columbia

All gambling activities and legal aspects of casino bonuses are regulated by the Gaming Policy and Enforcement Branch of the Ministry of Finance of British Columbia.

Manitoba

Regulating gambling service providers is under the jurisdiction of Manitoba Liquor and Lotteries corporation.

New Brunswick

The Gaming Control Branch of the Department of Safety is responsible for managing and regulating gambling providers. Players over 19 can wager only at offshore casinos, whose services aren’t promoted in Canada.

Newfoundland and Labrador

There are no casino facilities or online casinos, so individuals over 19 can participate in lotteries, bingo, and card games.

Nova Scotia

The registration of gambling providers is in the hands of The Alcohol, Gaming, Fuel, and Tobacco Division of Service Nova Scotia. The legal gambling age is 19, only for those based in the province.

Ontario

Online gambling is allowed for 19-year-old residents. The Gaming Control Act and the Ontario Lottery and Gaming Corporation are both responsible for regulating gambling services.

The Prince Edward Island

As part of the ALC, gambling is available on provincial iGaming platforms. The main regulation is the Lotteries Commission Act.

Quebec

Gambling is allowed only on offshore websites. Loto Quebec is responsible for all regulations.

Saskatchewan

The province still doesn’t provide online gambling services. However, gambling on offshore websites is allowed. The main regulatory body is the Saskatchewan Indian Gaming Authority.

Yukon, Nunavut, and Northwest Territories

No online casino websites have been registered until now, but gambling on foreign websites is permitted.

The Role of the Canadian Gaming Association

The Canadian Gaming Association (CGA) represents a wide range of land-based and online casino operators and global premium sports providers. The association is promoting the economic gaming value in Canada through continuous research and innovation.

How Does the AGCO Regulate the Canadian Online Casino Industry?

The AGCO is the main regulator for land-based casinos in Ontario, but its subsidiary iGaming Ontario acts as a single entity per the “Criminal Code” to regulate and manage internet gaming.

Legal Age for Gambling and Bonus Eligibility

The average legal age for gambling in Canada is 19 years. However, in some provinces, you can gamble once you turn 18, which means bonus eligibility also differs. In fact, 18 years old in Ontario are allowed to participate in the lottery, but not slots.

Licensing and Regulation of Online Casinos

No need to fear prosecution as long as the casino is based offshore. That said, you have to make sure to choose a fully licensed and independently regulated casino.

Considering everything, it’s safe to say that online gambling is allowed, but confusion arises, as gambling laws tend to differ depending on the province.

Offering Online Casino Bonuses to Canadian Players

Since there is no federal gambling law, every province has the right to develop its own regulations. Consequently, this affects the legal aspects of online casino bonuses.

Over 60 online casinos offer various bonuses in Canada, and that’s why Canadian casinos are so enticing. However, online casinos in Ontario are prohibited from promoting bonuses, which isn’t the case in other provinces.

How to Choose a Reputable Online Casino for Bonuses in Canada

  1. Check their security and licence. Look for logos from reputable commissions.
  2. Read the casino’s terms and conditions to see if they are transparent and fair.
  3. Check wagering requirements. Don’t claim anything with over 40x wagering requirements.
  4. Check the variety of games. The more, the better.
  5. Test the user experience with demo or no deposit bonuses.
  6. Do thorough research before playing with real money.

Types of Casino Bonuses and Their Legality

  • Welcome bonuses: You are eligible for a welcome bonus if you join an online casino, but in order to withdraw the winnings, there will be different wagering requirements.
  • No deposit bonuses: Some casinos will offer you a bonus without the need to deposit. No deposit bonuses are not subject to tax.
  • Free spins: You can get 10 to 400 hundred bonus spins, depending on the casino offer.
  • Loyalty bonuses: You’ll get points and various other casino rewards for continuously using the casino website.
  • Cashback bonuses: These are also not subject to tax and are given as a reward by the casino for your loyalty.

Some casino bonuses have no wagering requirements, but they still come with terms and conditions. The goal behind these T&Cs is the creation of a same-level field for all players.

The Tax Implications of Casino Winnings and Bonuses in Canada

Casino winning and bonuses aren’t taxable, as they’re not a regular source of income. However, earning interest on your winnings is taxable and must be legally declared via a T5 form.

The Importance of Responsible Gambling When Using Casino Bonuses

By understanding the legal aspects of online casino bonuses, you’ll know how to use them effectively and to your advantage.

The responsibility lies in your hands, so always set ground rules for yourself – don’t use gambling as your only source of income, and play only with amounts you can afford to lose.

Concluding Remarks

Online casino bonuses can be confusing for first-time players, but once you get the hang of them, you’ll improve your overall casino player experience. That’s why understanding the legal aspects involved is of vital importance.

It’s safe to say that casino bonuses have no setbacks. They tend to differ depending on the casino, but the benefits remain the same. Whether you’re an experienced or a novice player, always abide by Canadian gambling laws and regulations.