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A Breakdown of the Legal Online Gambling Situation in Canada

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Canada’s online gambling situation can be considered slightly more liberal and more concise than the U.S. The only area of legal concern does not really apply to the average punter in Canada. One problem is the illegal operation of an online casino in Canada without a license. This attracts the most attention of the authorities.

However, the normal daily punter can enjoy a safe and legal bet in Canada and offshore without any issues. As a result, both domestic and offshore casinos have grown significantly between 2019-2021. This shows that Canadians are enjoying a safe and free environment with fewer legal issues than south of the border.


The Legalities

Canadians are not at any legal risk when gambling online and no Canadian citizen has been prosecuted for playing games like slots, table games, poker and sportsbook according to our source. The Criminal Code of Canada does not criminalize playing at an online casino offshore. It also outlines what is legal and illegal within Canada itself.

Is online gambling legal in Canada? The answer will depend on the province in Canada but generally, it will be okay. The provinces have their own laws in place. For example, British Columbia and Ontario have legal gambling which is licensed and legal but you must be located in the province to take advantage of this.

Offshore sites are not prohibited and do not stop players from Canada from being allowed. In fact, many offshore sites may be regulated better than Canadian online gambling sites or casinos.


More Relaxed than South of the Border

The legality of offshore gambling is much looser than in the states. For one, winnings from gambling are not taxable in Canada unless gaming profits are based on a form of employment. Winnings are not taxable for most players just wanting a quick punt, unlike the U.S where thresholds exist and players must pay tax for winning over each type of betting threshold.

Canada also differs from the States at the Federal level. U.S offshore online casinos are targeted by the Unlawful Internet Gambling Enforcement Act of 2006. It does not prohibit offshore online gambling directly but goes for the payment methods instead. Players can’t send money to offshore casinos through the more conventional methods.

However, players have still found a way around this by using wired money payments. Cryptocurrency is another popular way to get around these rules. Canada does not have such tough payment laws in place which makes it significantly easier for Canadian players.

Canada has a much more relaxed approach to laws targeting companies offshore. Offshore online gambling sites continue to accept players from the country. However, gambling in Canada is still a grey area. it is not specified as legal or illegal.

The approach is much more adversarial between the Federal and State levels of the U.S. However, States like New Jersey, Delaware and Nevada have taken on the Federal legislation attempting to make online gambling illegal and have won. In short, Canada is a bit simpler from a legal standpoint despite there being few prosecutions in most States of the U.S.


Enjoy a Punt In Canada and Offshore

So, the best way to enjoy gambling in Canada is to look for an online gambling site that makes no secret of the laws and states the legality of their operation. Look and see if online gambling is legal or if Canadian players are accepted for sites that are offshore. Then, enjoy some play and relax as it is rare that players are prosecuted for illegal gambling. The exception is when players make a profit from gambling operations and are not licensed. Canadians also enjoy a much more liberal betting environment than the U.S.

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