Aside from sharing the same continent and both being strong, prosperous countries with mesmerizing nature and welcoming people, Canada and the US have one more thing in common — strict gambling laws. Although regulations vary between states in the US and provinces in Canada, certain similarities between countries’ gambling legislation are more than evident and worth considering.

Wondering how Canada compares to the USA? Keep on reading to find out more.

Let’s Talk Gambling History

Gambling laws were roughly the same in Canada and the United States during the first half of the 20th century. Simply put, gambling was completely illegal in the United States, except for pari-mutuel wagering on horse racing, dog racing, and jai-alai, which were quite popular in the late 1920s. And speaking of exceptions, gambling for charity, especially church bingo, has always been supported and legal.

Poker was illegal despite its popularity. However, the game has always been present in American culture. Still, it was not until the 1980s, when the first legal ‘game rooms’ appeared outside of Nevada, where players could enjoy their favorite game without restriction.

What’s especially interesting about casino gambling in the USA, is that it was available only in Nevada until the late 1970s. In fact, the Silver State began legalizing it after attaining statehood in the late 19th century. Since then, the situation has changed, and now gambling is legalized in as many as 20 states.

The seventies were also essential years for the Canadian gambling industry. The reformation of the criminal code led to a more liberal approach, meaning that each province received approval to establish its own gambling laws and determine what games should be permitted.

Online Gambling in Canada vs. US

Online gambling in Canada is in a so-called ‘gray’ area. It is not illegal because there are no federal or provincial laws that prohibit it. Still, you will not find many online casinos based in Canada because the government doesn’t license them. So, knowing how popular online casinos are among players, you start wondering – how do they gamble online?

The previous information may sound discouraging, but the truth is, Canadians enjoy their favorite games mainly in the out-of-state online casinos, which are usually based in countries where this form of gambling is well-regulated and fully legal. However, in this kind of market and with this variety of choices, come many risks. Therefore, as a Canadian player, once you start looking for an online casino, you can reach out to reliable gambling blogs such as CasinoTopsOnline.com that will make sure to provide you with valuable information and make your search as easy as possible.

In the US, the situation is slightly different. First, we should mention the Unlawful Gambling Enforcement Act of 2006, which emerged as a result of the increasing popularity of online poker in the US. Its purpose was to stop gambling organizations from accepting online betting payments.

Fast-forward 15 years, and here we are now in 2021, when all American states are allowed to regulate online gambling by their own rules. Let’s take New Jersey as an example. This American state is a true heaven on earth for casinos, betting companies, and iGaming businesses. On the other hand, Oregon and Nevada (where gambling is one of the favorite pastimes) don’t permit online casinos, but when it comes to sports betting, these two countries shout — go for it!

Gambling and Tax Regulations

One of the most significant differences between the US and Canadian gambling laws is how much of the win is yours. For instance, gambling wins are not taxed in any physical or online casino in Canada. Yes, you read it right. So, any profit you make goes straight to your wallet.

In the US, gamblers are in a different position because particular amounts count as taxable income. How much you will have to give up and at what period, depends on the win, the game you played, and whether you are a tourist or an American citizen. In most cases, the cut is between 25 and 30 percent. Remember, some land-based casinos withdraw the tax percentage directly from your win, and while online casinos are not entirely explored, any amount is taxable, and you should report it.

So, Where Is Better – Canada or the US?

Well, this is a tricky question, and the answer depends on each player’s personal preferences. But, as you could see, both countries have strict gambling laws that evolved and changed over time. Canada, for instance, shows a higher level of flexibility when it comes to online gambling, while many states in the US are focusing on the legalization of sports betting.

The bottom line is, legalized gambling could ensure millions in taxable revenue, new jobs, and growth in the economy, just like in New Jersey, where these benefits are the most visible. Hopefully, other US states and Canada’s provinces will follow the same recipe in the future.

A piece of advice for all those planning a visit to Canada or the US — if you are passionate about gambling and eager to explore foreign gambling industries, pay attention to laws and regulations and always look for reliable service providers.