New Zealand online gambling tax: current duty and 2027 change

Updated 25 September 2026. The online gambling duty currently shown by Inland Revenue is 12%. The enacted Online Casino Gambling Act 2026 raises the rate to 16% from 1 January 2027. These are operator duties, separate from the tax position of an individual player.

Current rate: 12%

Inland Revenue’s online gambling duty guidance lists a 12% rate. The duty applies to qualifying operators supplying paid gambling or competitions to New Zealand residents. It is calculated on gambling profits under the statutory rules, broadly receipts from residents less prizes paid and excluded offshore betting amounts. GST is separate. The duty began on 1 July 2024; see Inland Revenue’s special report for the original rules.

Legislated rate from 1 January 2027: 16%

Section 82 of the Online Casino Gambling Act 2026 replaces the 12% rate with 16%; section 2 brings sections 81 to 86 into force on 1 January 2027. The law also establishes a mechanism to direct part of online gambling duty to community purposes. The current 12% IRD page and the future 16% legislation refer to different periods; neither means a licensed operator is already operating.

Are players’ winnings taxable?

A player’s tax treatment depends on the facts. Recreational winnings and business income may be treated differently. Inland Revenue explains taxing prize money and when a hobby becomes a business. Seek individual advice if you gamble systematically or for profit.

Licensing is a separate question

Paying duty does not prove a casino holds a New Zealand licence. DIA’s licensing timetable expects first licences in early 2027. Read our licensing guide and community returns explainer for related details.

Reviewed 25 September 2026. Check official sources for updates. For gambling harm support, visit Safer Gambling NZ or call 0800 654 655.