Jamaica is an island country situated in the Caribbean Sea and is the third-largest island in both the Caribbean and the Greater Antilles. The island was under Spanish rule from 1494 to 1655, after which the British conquered Jamaica and ruled until 1962, when the country regained its independence.
When it comes to gambling, Jamaica has a long history with this type of activity. Originally, gambling was deemed illegal in Jamaica with the enactment of the Gambling Law of 1899. However, this was during British rule. Since then, the country has introduced several amendments to its laws, changing the legal status of gambling after Jamaica regained its independence.
Online gambling is also legal in Jamaica, but it is offered in a very restrictive form, with only wagers on local horse races allowed online. Both land-based and online gambling are regulated, with the Betting, Gaming & Lotteries Commission responsible for licensing and oversight on the island.
Even though the government plans to amend the Casino Gaming Act, the changes will most likely focus on attracting more investment to Jamaica through integrated resort developments. Meanwhile, online casino gaming will probably remain available only on offshore, unlicensed websites.
Gambling Regulation in Jamaica
The main piece of legislation currently governing the gambling industry in Jamaica is the Betting, Gaming & Lotteries Act of 2012 and its most recent amendments. Under this law, land-based gambling is legal in Jamaica, allowing both locals and tourists to enjoy various gambling activities at brick-and-mortar casino facilities across the island.
In addition to land-based casinos, Jamaica has decriminalized racinos, racetracks, and betting shops. The Betting, Gaming & Lotteries Act sets the legal gambling age at 18. To offer any form of legal gambling, operators must obtain a license from the Betting, Gaming & Lotteries Commission. Currently, Jamaica has 22 gaming facilities: 20 brick-and-mortar casinos, one racetrack, and one racino.
Casinos in Jamaica
Other Legal Forms of Gambling in Jamaica
Online Gambling in JamaicaGambling Regulators and Licenses in Jamaica
While the Betting, Gaming & Lotteries Act was enacted in 1965, the Betting, Gaming & Lotteries Commission (BGLC) was not established until 1975. The BGLC’s responsibilities include licensing and regulating all gambling activities that have been legalized under the Act. As a regulatory body within the Ministry of Finance, the BGLC is tasked with regulating betting, gaming, and lotteries in Jamaica. It also collects fees and taxes imposed on license holders.
The types of licenses issued to gaming operators by the BGLC include Gaming Lounges, Gaming Machine Premises Operators, Hotel-Based Gaming Rooms, and Technical Service Providers. The BGLC can also issue lottery licenses, bookmaker permits, licenses to conduct prize competitions, and permission to hold bingo or raffles.
Each BGLC license period begins on March 31 every year, and taxes on license holders’ operations must be paid on or before that date. Fees are paid directly to the Commission’s office or the BGLC’s bank account.
Although horse racing betting also falls under the BGLC’s remit, it is additionally regulated by the Jamaica Racing Commission (JRC), which was established by the Racing Commission Act of 1972. The JRC ensures that horse races in Jamaica are conducted fairly and offers protection to all parties involved.
Gambling Taxes in Jamaica
When it comes to taxes on gambling winnings, Jamaicans are required to pay a 20% tax if they win more than $15,000 on a lottery game. The gambling company usually deducts this tax from the payout, so players are not required to pay any additional taxes after receiving their winnings.
The taxes that gambling operators must pay differ according to the type of activity the company conducts. According to the 2018 changes to the Licensing Fees and GOJ Taxes, the tax on casino operations is 10% of the gross profits generated by all land-based gambling facilities.
There are several exceptions, as certain activities require operators to pay different tax rates. Bookmakers, including those allowed to operate online, are required to pay a tax of 16.5% on gross profits. As for all other types of sports betting, the tax rate levied is 9% of gross profits. Lastly, racing promoters and operators offering simulcast racing are required to pay a tax of 7.5% of their gross profits.
Closing Thoughts
Jamaica is not the first Caribbean country to legalize gambling, but it has ensured that both tourists and locals can legally enjoy various forms of gambling. However, this is mostly true for the land-based sector, as online gambling remains largely unregulated in Jamaica.
The proper regulation of land-based casinos began in 2010 with the introduction of the Casino Gaming Act. Prior to that, gambling was legalized in 1965 with the enactment of the Betting, Gaming & Lotteries Act, which has gone through several amendments since then. Currently, the 2012 amended version of this piece of legislation governs all gambling activities in Jamaica.
Although online betting on certain horse races was allowed in 2014, all other forms of online gambling remain unregulated in Jamaica. Although there has been talk of amending the current form of the Betting, Gaming & Lotteries Act, the government has still not introduced legislation to regulate online gambling in the country. Despite the lack of regulation, many Jamaicans turn to offshore gaming websites to enjoy online casino wagering, lotteries, and sports betting.