Classes in which Gambling Activities Are Divided
As stated in the Gambling Act 2003, the legal forms of gambling in the country are divided into four categories: Class 1, Class 2, Class 3, and Class 4. Instant games, lotteries, games of chance, and prize competitions fall into the first three classes, while gaming machines located outside casinos belong to Class 4.
Activities in the first class involve turnover or prizes that do not exceed $500. No license is required for gambling in this category. For Class 2, prizes must range between $500 and $2,000, and turnover must be greater than $500 but not more than $25,000. Once again, no license is required.
Classes 3 and 4 cover gambling activities in which the prizes awarded during a single session exceed $5,000. In these cases, approval is required, and it must be granted by the Department of Internal Affairs.
Any gambling activity that does not fit into one of these four classes is considered illegal in New Zealand. The Act also lists several prizes that cannot be awarded, including tobacco products, liquor, and firearms.
The authorities in New Zealand recognize the popularity of gambling among citizens and therefore maintain strict oversight.
Several bodies handle gambling-related matters, one of which is the Gambling Commission. This independent statutory decision-making body hears appeals on licensing and enforcement decisions made by the Secretary of Internal Affairs and also considers casino licensing applications.
The Department of Internal Affairs plays a crucial role as well; it monitors and ensures that all gambling activities conducted in New Zealand comply with the Gambling Act 2003.
Remote Interactive Gambling in New Zealand
Remote interactive gambling is covered in Section 9(2)(b) of the Act, which defines it as “gambling by a person at a distance by interaction through a communication device.” The Gambling Act 2003 bans all activities that fit this description. Communication devices include radios, computers, telephones, and similar equipment. However, the Racing Board and Lotteries Commission are exempt and may legally offer remote forms of gambling.
Advertising gambling activities conducted overseas is not permitted in New Zealand. For an activity to be considered gambling, participants must pay to take part, and the outcome must involve an element of chance.
The ban on remote gambling activities applies only to New Zealand-based operators and not to online casinos located overseas. Therefore, residents can legally gamble online at platforms registered elsewhere in the world.
Before playing at overseas casinos, gamblers should remember that doing so carries risk because they cannot seek legal protection from New Zealand authorities.