Online Casino Licensing FAQ
Welcome to our Licensing FAQ section. Here you'll find answers to the most common questions regarding online casino licensing in Canada. This resource aims to provide clear information about regulatory requirements, application processes, and compliance standards for operators interested in the Canadian market. gambling license
General Licensing Questions
What types of online gambling licenses are available in Canada?
Canada's gambling licensing is primarily regulated at the provincial level. Each province has its own regulatory body, such as the Alcohol and Gaming Commission of Ontario (AGCO), British Columbia Lottery Corporation (BCLC), and Loto-Québec. These authorities issue licenses for online gambling operations within their respective jurisdictions.
How much does an online casino license cost in Canada?
License costs vary by province. For example, in Ontario, operators must pay an initial registration fee of CAD$100,000 plus annual regulatory fees based on gaming revenue. Other provinces have different fee structures, with application fees typically ranging from CAD$5,000 to CAD$100,000, plus ongoing operational fees.
What are the requirements to obtain a Canadian online gambling license?
Common requirements include:
- Detailed business plan and financial projections
- Background checks for all key personnel and shareholders
- Proof of financial stability and adequate capital
- Comprehensive anti-money laundering (AML) procedures
- Responsible gambling policies and tools
- Technical compliance with provincial gaming standards
- Game testing and certification by approved testing facilities
Compliance and Operation
Can international operators obtain Canadian licenses?
Yes, international operators can obtain licenses in Canadian provinces that offer regulated online gambling markets. However, they must establish a Canadian business entity and comply with all provincial requirements, including data hosting within Canada in some jurisdictions.
What ongoing compliance obligations do licensed operators have?
Licensed operators must maintain compliance with:
- Regular reporting of financial and operational data
- Adherence to responsible gambling standards
- Implementation of player protection measures
- Regular independent audits of random number generators (RNGs)
- Continuous AML and Know Your Customer (KYC) compliance
- Timely payment of all regulatory fees and gaming taxes
What are the tax implications for licensed online casinos?
Licensed operators are subject to corporate income tax at both federal and provincial levels. Additionally, gambling-specific taxes vary by province, ranging from 15% to 25% of gross gaming revenue. Some provinces also impose additional fees or contributions to responsible gambling initiatives.