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Is Gambling Online Breaking the Law?

Tom W. Bell has a variety of publications that tackle the mist surrounding the problems of online gambling. They provide an in-depth explanation of the potential problems that players could encounter whilst gambling online.  Laws, legalities, and government policies are all viewed within these publications, as investigated by the Washington D.C-based Bell of the Cato Institute.

USA Legality as it Stands Today

Gambling online in the USA is illegal. The illegality of gambling through the internet is outlined by the Federal Interstate Wireline Act, which states that gambling through the telephone or other wired instruments between states or overseas is illegal. It doesn’t mention the Internet by name; however, it’s still illegal to operate a server in the USA for the purposes of allowing people to gamble through the Internet. promotes sites providing online gambling. They state that they operate legally from destinations in which their servers are licensed.

Before you decide to register for providing an online waging service, it is recommended to seek advice from local authorities. However if you are a citizen of the United States you should know that using such a site for information is, according to national and state laws, completely illegal. The way to keep up with what’s happening in the legality of gambling is to follow the various gambling-legality links.

The State of Legality in the United States to 2002

We are still anticipating that the chief anti-gambling proponents Senator Jon Kyl and Representative Bob Goodlatte bring in legislation in the 107 th Congress against gambling on the Internet. Apparently after his last two failed attempts, Kyl is preparing to act. In the meantime, Goodlatte is planning to change tactics from keeping checks on online gambling sites.

The greatest and growing menace looms from the Internet Gambling Funding Prohibition Act. Republican Leach brought this Act in a year ago and aims at making all financial and credit Internet transactions completely illegal. This is in contrast to Kyl’s legislation which would exclude payment factors, but make the actual gambling criminal. However the Financial Services Committee is still holding up Leach’s bill. And due to the overload of work it appears that only toward the end of the year the bill will eventually be debated. By accessing the Internet Consumers Choice Coalition, you can get all the required information on the current state of the bills, or the steps to take in consulting your representatives in preventing this legislation.

Individual State Gambling News

Governor Guinn of Nevada has introduced a bill to make Nevada the first state to legalize online gambling. This innovative bill will make casinos in Nevada legal and allow Internet gambling in face of the illegality declared by the Justice Ministry. A great deal of work will have to invested by Nevada’s gaming authorities in creating an transition to a rigid legal framework. Clauses will have to be introduced to prevent under-aged and outside-state players from playing. A six per-cent winning tax and a half million dollar license fee will be required from all Nevada Internet gambling providers. It still seems that before Nevada takes off, it will take around one and a half years.

Facing similar difficulties, parallel legislation to provide legal online gambling is also be introduced in Trenton, New Jersey. Impreveduto has introduced his Assembly Bill legalizing online Internet gambling sites for local state residents. However Senator Gormley, who is chairman of the Judiciary Committee, together with two others stand strongly against the legislation. Very is a very slim chance that the bill will soon pass. Nevertheless, it might be that Nevada’s stand on pro-online gambling could influence the positive outcome of Jersey’s legislation.

Legislation to make online gambling illegal has lately been introduced by California’s State Assembly Committee. Frommer’s bill is aimed at making online gambling in California a crime. Anybody who is caught providing online gambling will have to pay in the region of a one thousand dollar fine. This bill is not new in California, and the Conference never passed the last one.

Britain’s Positive Response to Online Gambling

As Britain has removed the tax code on sports waging, this country might evolve into the world-leading online gambling center. The idea behind Britain’s cancellation of betting taxes is to attract gambling companies to return to Britain and operate at home. It will be permissible for local bookmakers to receive wagers from overseas and gain an advantage over competitors by outlawing offshore gambling advertising in Britain.

Britain could definitely gain in revenue by the change in gambling taxes on gross profits from nine to fifteen percent which is to occur in early 2002. This would create a significant tax revenue.

Optimists see in Britain see this activity as a trigger which would attract other countries to do likewise in their gambling fields.

Internet Gambling is illegal in Australia

Practically every form of online gambling has been outlawed in Australia. The initial bill demanded to outlaw every type of gambling on the Internet. However, a significant number of changes were introduced making sports gambling legal and a clause preventing overseas financial gambling transactions. It’s still possible that the Northern Territory Government which was rigidly against the bill might demand modifications.

Many consider the online gambling prohibition as a futile attempt to challenge the problem of gambling in Australia. Dataquest’s Gartner’s market research company states that it won’t be a solution for overall gambling in the country. The consequences would be that offshore companies and Net casinos would take over the gambling.

Retaining the Gambling Monopoly in Denmark

In Denmark, the Tax Minister Sorenson claims that the government aims at preventing its citizens from gambling on overseas online sites. This is being undertaken by preventing banks in Denmark from authorizing Internet gambling financial transactions.

Online Gambling in South Africa

The National Gambling Board in South Africa might bring in new national gambling laws at it is concerned at the increasing number of local online gamblers. The problem for the country’s Reserve Bank is that numerous offshore online gambling companies are draining the country of its currency. Thus the bank is warning South African gamblers that online gambling is prohibited in the country and it is a crime to take part in any such gambling.

However, there are rumors that South Africa might soon be holding discussions regarding the future switch to making gambling in the country legal. The spokesman of the Gambling and Racing Board claims that there is a window of opportunity for the country providing checks and supervision so that online gambling can become legalized. Those proposing such a move claim that legalized South African online casinos would bring in enormous revenues to the country and stop the drain of rand.