Under the Anti-Money Laundering and Combating the Financing of Terrorism Act, certain gambling activities are classified as “designated services” and, as such, reporting companies are required to develop and maintain a compliant AML/CFT program and to report certain transactions to Austrac, including TRTs and SMRs. There is no international law that would affect the liability or enforcement of local federal, state or territorial laws in Australia with respect to gambling service providers. Online gambling is regulated by the Australian government under the Interactive Gambling Act 2001. This act is regulated by the Department of Communications and the Arts and prohibits online gambling, with the exception of licensed Australian companies that provide racing and sports betting services and provide lottery tickets. The Australian Medical Association, Victoria has a page on gambling issues. This looks at problem gambling from a public health perspective. The measures include, but are not limited to, the prohibition of the provision of credit lines by gambling providers, the prohibition of specific advertising incentives, the implementation of a voluntary pre-binding opt-out system, consistent messages in favour of responsible gambling in gambling advertising and the development of a national self-exclusion register. These codes of conduct prohibit the broadcasting of gambling advertising when broadcasting sports live on free television, pay-TV and radio. The ban applies from five minutes before the start of the live sporting event, during the event and for five minutes after the end of the event. The ban applies between 5 a.m.
and 8:30 p.m. After 20:30, gambling advertisements can be displayed, but the promotion of live odds remains prohibited. Advertising for races and lotteries is exempt from these restrictions. The Queensland Office of Liquor and Gaming Regulation (QOLGR) is responsible for licensing and compliance, and the Office of Regulatory Policy (QORP) is responsible for developing policies and legislation regulating alcohol, gambling and fair trade, as well as harm reduction programs for the spirits and gambling industry. The QOLGR and QORP sit on the Ministry of Justice and the Attorney General of the State. New South Wales has a long history of play; Australia`s first official horse racing meeting was held in 1810 at Hyde Park in Sydney; Australia`s first official lottery was held at the Sydney Cup in 1881; and registered clubs operated the first legal poker machines in Australia from 1956.  At the federal level, a large Australian gambling company paid a civil fine of $45 million to Austrac for admitted violations of the Anti-Money Laundering and Anti-Crime Act. In addition, ACMA has also been very active in working with foreign regulators and other parties regarding the illegal offering of online gambling products in Australia. Acma`s enforcement actions are likely to increase given the scope of its powers to advertise gambling and promote quotas during live sports. The implementation of the CNTP will most likely also result in increased enforcement actions.
The IGA prohibits the provision of online gambling services to persons present in Australia unless they are betting or lottery services and the service provider is licensed by a regulatory authority in an Australian jurisdiction. However, the ability of betting operators to offer sports betting remotely is limited to bets placed by telephone via a voice call or via a `location-based betting service`, i.e. the use of `electronic devices` on the website of an authorised operator. The Queensland Office of Gaming Regulation regulates machine games, casinos, art unions, lotteries and keno in Queensland. It has a comprehensive web page that deals with current issues, laws, statistics, information about interactive gambling and other political issues. All Australian businesses, including gambling operators, are required to pay corporate income tax (currently 30 per cent)5 and a goods and services tax (GST) of 10 per cent on all sales. GST is also payable by foreign suppliers of goods and services, including overseas gambling services, to Australian customers. Under PoC tax regimes, bookmakers are required to pay taxes on income generated by the state where the bets are placed and not by the state where the operator is licensed. Despite early attempts to harmonize the gambling tax system for bookmakers in Australia, the PoC tax framework varies considerably in each state and territory in terms of tax exemption limits, tax rates and, most importantly, the method used to calculate taxable income. Strict laws apply specifically to gambling advertising published in traditional media such as print, television and radio, as well as in digital media such as advertising on websites and social media. Australia`s legal framework for the gambling sector distinguishes between long-distance and land-based gambling; Both are regulated at the federal, state and territorial levels. The main changes are: (i) the full implementation of the CPNTP measures (which will be progressively implemented through state and territorial laws and other instruments), as mentioned in question 2.8 above; (ii) the implementation of various sports betting reforms by the new Sport Integrity Australia (SIA) following the federal government`s response to the review of the Australian Sports Integrity Agreements (known locally as the “Wood Review”) led by the Honourable James Wood AO QC.
This will likely include the establishment of the Australian sports betting system, on which the SIA is currently consulting with key stakeholders; and (iii) the possible legalization of online poker as a game of skill. Australian gambling sites are expressly licensed to offer poker and casino games to players outside the country. The main condition of this exclusion is that these websites must include other countries in the list of excluded countries at the request of the government. There is also a 10% federal tax on goods and services payable on gambling products. However, state and territorial tax rates often take this into account and are offset by taxes payable to state and territory governments. 5.1 What changes (if any) to the Gaming Act and the Gaming Regulations are currently under consideration? The act targets online gambling operators and criminalizes offering interactive online gambling for “real money” to residents of Australia.