There has been a quick and widespread reaction across the industry regarding a report created by a consulting firm on behalf of Great Canadian Gaming, which holds the largest share within Ontario's casino market.
According to a report obtained by CBC News, the Ontario government risks losing out on approximately $2.8 billion in revenue over the next five years if it proceeds with plans to launch a regulated gaming network.Ontario online casino There are also plans for new launches expected in the coming months.
Ontario sports betting The extent of the online casino market's impact is still being evaluated.
Launch dates forOntario sports betting apps While the online casino market is likely to generate new revenue, the report warns that the province might be underestimating its potential losses, as it predicts a reduction in visitors to physical casinos. The anticipated tax rate for online gambling establishments is expected to be lower compared to that for brick-and-mortar casinos.
Tax Rate on Online Casinos Key
There have been calls for action. According to The Parleh Newsletter, Great Canadian Gaming is advocating for similar tax structures for both iGaming and retail operators, a limited number of online betting licenses, and a two-year exclusive period for land-based operators concerning online betting and gaming.
In a previous discussion with deereplanet.com, Paul Burns, the president and CEO of the Canadian Gaming Association, indicated that the proposed tax division for online operators could be 80% for them and 20% for the government.
Industry representatives have voiced significant opposition to the report, arguing that the influx of customers to physical casinos will remain unaffected. One industry insider noted that no other casino operators have rallied behind the demands put forth by Great Canadian Gaming.
Will Casino Traffic Be Affected?
A complicating factor is that Great Canadian Gaming was acquired by Apollo Global Management last year, and the source highlighted that this American company may not fully grasp the regulatory landscape in Canada concerning iGaming.
Scott Vanderwel remarked, “The rapidly growing U.S. sports betting sector has demonstrated that a secure, legitimate, and competitive online and mobile sports betting framework can really enhance and positively impact established commercial gaming operations.”
He added, “Take a look at New Jersey, particularly Atlantic City, where the industry has made significant progress thanks to a comprehensive online gaming model. I am confident that Ontario will gain from effective leadership in developing a robust structure that includes significant industry input.”PointsBet Sportsbook Ontario CEO, told deereplanet.com.
It's worth noting that grey market operators have contributed no revenue to Ontario, as Amanda Brewer, the country manager for Kindred Group in Canada, pointed out: “The grey market has been thriving in Ontario for over ten years. A proper licensing and regulatory approach is essential to enforce compliance and integrate as many operators as possible.”
Licensing & Regulations Necessary
She continued, “We wholeheartedly back the Government of Ontario’s initiative and public policy aims to license and regulate the iGaming sector, and we are eager to take part once the market is open.”
It remains unclear whether the government's response to these demands has been positive or not. One source mentioned that the discussions had not progressed significantly.
A representative from the Ministry of Finance stated, “Ontario is dedicated to establishing a new online gaming market that reduces risks for players using online gaming platforms. The government will maintain discussions with the gaming industry, First Nations communities, and social responsibility organizations to gather their insights.”
Casino Game Options in Ontario Include Huff, Puff, and Other Features
Fromdeereplanet.com
