Australia has a long-standing cultural relationship with betting. From the “race that stops a nation” to the local pub’s pokie machines, gambling is woven into the social fabric. However, with the highest per capita gambling losses in the world, the Australian government maintains a complex, multi-layered regulatory environment to balance entertainment with harm prevention.
As we move into 2025, significant legal reforms are taking flight. For players, understanding these laws isn’t just about following the rules—it’s about knowing your protections, your tax obligations, and where you can safely place a bet.
1. The Legal Landscape: Who’s in Charge?
Unlike many countries with a single national gambling regulator, Australia uses a “co-regulatory” model.
- Federal Government: Sets the overarching rules for online gambling and telecommunications through the Interactive Gambling Act 2001 (IGA). They also manage anti-money laundering (AML) through AUSTRAC.
- State and Territory Governments: These bodies control “land-based” gambling. They issue licenses for casinos, pubs with electronic gaming machines (pokies), and local lotteries.
Each state has its own watchdog, such as Liquor & Gaming NSW or the Victorian Gambling and Casino Control Commission (VGCCC). If you are playing in a physical venue, the rules of your specific state apply.
2. Online Gambling: What is Legal and What is Banned?
The Interactive Gambling Act (IGA) is the most important law for digital players. In 2025, the distinction between what is allowed and what is prohibited is sharper than ever.
✅ Licensed and Legal
- Sports Betting: Betting on the AFL, NRL, or cricket is legal as long as the provider is licensed in an Australian state (e.g., Northern Territory).
- Horse and Greyhound Racing: Fixed-odds and pari-mutuel betting on racing are fully legal through licensed apps.
- Lotteries: You can buy lottery tickets online for major draws like Oz Lotto or Powerball.
❌ Strictly Prohibited
- Online Casinos: It is illegal for any operator to offer online pokies, blackjack, roulette, or poker to people in Australia.
- In-Play Online Betting: While you can bet on a game before it starts using an app, you cannot place a “live” bet online once the whistle blows. To bet “in-play,” you must call the bookmaker or visit a TAB in person.
- Credit Card Betting: As of June 2024, using credit cards or digital currencies (like Bitcoin) for online wagering is banned nationwide to prevent players from betting with money they don’t have.
Player Note: While it is illegal for offshore casinos to offer services to you, the law does not penalize the individual player for accessing them. However, using offshore sites means you have zero legal protection if the site refuses to pay out your winnings.
3. The 2025 Consumer Protections: BetStop and Beyond
The Australian government has shifted toward an “interventionist” approach to protect players. If you play online today, you will notice several mandatory features designed to keep you in control.
BetStop: The National Self-Exclusion Register
Launched in late 2023 and now a cornerstone of the 2025 market, BetStop allows you to ban yourself from all 150+ licensed online wagering providers in Australia with a single click. Once registered, operators are legally barred from letting you bet or sending you marketing materials.
Real-Time Activity Statements
The Interactive Gambling Amendment (Know Your Losses) Bill 2025 has introduced a “net position” display. This means your betting app must show you—in real-time—exactly how much you have won or lost over a month, a year, and the lifetime of your account. No more guessing; the financial reality is always visible.
The “Slow-Down” for Pokies
For land-based players, new regulations coming into effect in late 2025 mandate that all new poker machines must have a minimum three-second spin speed. This is a 40% reduction in speed from previous years, designed to break the “trance” of fast-paced play.
4. Are Gambling Winnings Taxed in Australia?
One of the most common questions for Aussie punters is: “Do I have to give a cut to the ATO?”
For the vast majority of players, the answer is no. In Australia, gambling winnings are generally not taxed.
The Australian Taxation Office (ATO) views gambling as a hobby or a result of “good luck” rather than a professional income. Because you cannot deduct your gambling losses from your taxes, the government does not tax your wins.
The Exception: Professional Gamblers
If the ATO determines you are running a business—meaning you have a highly organized system, high volume, and specific business-like expertise (common in the horse racing industry)—your winnings may be classified as assessable income. However, for the average Saturday punter, your $500 Multi win is 100% yours to keep.
5. Advertising and Inducements
If you’ve noticed fewer “Sign Up Bonuses” lately, it’s because of the National Consumer Protection Framework.
- Banned Inducements: Operators cannot offer you “free bets” or “bonus cash” to entice you to open a new account.
- Standardized Messaging: You will no longer see “Gamble Responsibly.” Instead, ads must feature rotating, evidence-based taglines like: “Imagine what you could be buying instead,” or “Chances are you’re about to lose.”
Summary Table: Australia Gambling Rules 2025
| Activity | Legal Status | Regulation |
| Online Sports Betting | ✅ Legal | Pre-match only; Licensed providers |
| Online Pokies/Casino | ❌ Illegal | Prohibited for operators under IGA |
| Horse Racing | ✅ Legal | Includes apps and retail (TAB) |
| Live In-Play Betting | ⚠️ Restricted | Phone or in-person only; Banned online |
| Lotteries | ✅ Legal | Draw tickets only (no online “instant wins”) |
| Tax on Winnings | 💰 0% | Tax-free for recreational players |
Final Thoughts for the Player
Australia’s gambling market is more regulated in 2025 than ever before. While the government isn’t stopping you from having a flutter on the footy or the races, they are tightening the screws on operators to ensure players aren’t being exploited.
To stay safe:
- Check the License: Only use sites listed on the ACMA Register of legal providers.
- Use the Tools: Set deposit limits before you start.
- Know the Odds: Understand that the “house edge” is built into every game.
Whether you’re at the casino or on your phone, staying informed about these laws ensures your hobby remains a form of entertainment, not a financial burden.
FAQ (Frequently Asked Questions)
1. What is the legal age for gambling in Australia?
In Australia, the legal gambling age is 18 years. This applies to all forms of gambling, including casinos, lotteries, sports betting, and online gambling. Minors caught gambling may face legal consequences, and operators can be penalized for allowing underage gambling.
2. Are online casinos legal in Australia?
Online casinos based overseas can legally offer services to Australian players. However, operating an online casino from within Australia is illegal. Players should ensure the platform is licensed and follows responsible gambling practices.
3. What is the Interactive Gambling Act (IGA)?
The Interactive Gambling Act 2001 is the primary law governing online gambling in Australia. It prohibits online casinos and poker services for Australians but allows sports betting and lotteries under regulated conditions. Operators outside Australia can legally offer services to Australians.
4. Are land-based casinos regulated?
Yes. Land-based casinos are heavily regulated by state governments. Each state, such as New South Wales, Victoria, or Queensland, has its own licensing requirements and gambling authorities to ensure fair play and responsible gambling practices.
5. Can Australians participate in international lotteries?
Yes, Australians can participate in international lotteries online, but they should ensure the service is legitimate. Scams and unlicensed operators are common, so it’s important to verify licenses and user reviews before playing.
6. How is responsible gambling enforced?
Australian gambling laws require operators to provide self-exclusion programs, deposit limits, and warning messages for problem gambling. State regulators monitor compliance and can impose fines or revoke licenses for breaches.
7. Are there taxes on gambling winnings in Australia?
No. In Australia, gambling winnings are generally tax-free for players. However, professional gamblers may need to report income for tax purposes, depending on the state and their level of activity.
8. Can Australians gamble on sports online?
Yes. Sports betting is legal in Australia under regulated platforms. Operators must comply with state laws and licensing, ensuring bets are secure and fair. Offshore sports betting sites may also be used but carry legal and financial risks.
9. What penalties exist for breaking gambling laws?
Penalties vary by state but can include fines, imprisonment, and license revocation for operators. Players engaging in illegal gambling may also face fines or other legal consequences.
10. How can players protect themselves from illegal gambling?
Players should only use licensed and regulated operators, avoid offshore casinos with no proper credentials, and set personal limits on gambling activity. Being aware of the Interactive Gambling Act and local state laws can prevent legal or financial issues.
