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Northern Territory (NT) Corporate Bookmaker licence application process in Australia

Bookmakers

For organisations considering diversifying into the online gambling market in Australia, the most common licence sought is a corporate bookmaker licence. Operator licences are nearly always State or Territory based and are typically monopolistic or very limited in numbers. There are several online only gambling licences which are also available, covering certain forms of internet gaming and bookmaking.

Bookmaker licences can be issues by Licensing Northern Territory (Licensing NT) or by a principal racing authority in Australia (PRA). A sports bookmaker licence (often referred to as a ‘corporate bookmaker licence’ (Corporate Bookmaker Licence)) issued in the NT enables the bookmaker to offer fixed odds betting online and over the telephone on sports, racing and other approved events. There is no limit on the number of Corporate Bookmaker Licences the NT may issue. Fantasy sports betting in Australia is typically permitted under a Corporate Bookmaker Licence.

In the case of a bookmaker licence issues by a PRA, an individual (or sometimes incorporated) bookmaker operating at a racecourse in Australia (On-course Bookmaker) is required to hold a State or Territory based on-course Licence, issued by the relevant PRA. An On-Course Bookmaker can also accept bets over the telephone and via the internet where appropriately licensed.

Australia’s Point of Consumption Tax

Online bookmakers in Australia are also subject to the Point of Consumption Tax (POCT), which has been progressively introduced in most Australian States and Territories since July 2017. The POCT is applied as a percentage of the net wagering revenue derived from all wagering and betting activity by customers in the relevant jurisdiction, not the State or Territory where the bookmaker is licensed, which was previously the case. Under the POCT framework, online bookmakers are required to pay tax on revenue generated from the State or Territory in which the bets are placed, rather than from the State of Territory in which the online bookmaker is licensed. The current POCT rates in Australia are 10% in New South Wales and Victoria, 15% in Queensland, South Australia, Western Australia, Tasmania, Australian Capital Territory. There is currently no POCT in the Northern Territory.

The lawyers and solicitors that Bookmakers instruct to obtain a licence in Australia

Our team has in-depth expertise in submitting gambling license applications for online operators and suppliers and negotiating on behalf of clients with State and Territory regulators. The licensing process for a Corporate Bookmaker Licence can typically take around 6 to 9 months or so from the date of the licence application and requires careful consideration of a range of matters, including economic benefits.

Senet act for leading online bookmakers and oncourse bookmakers and are regularly instructed by entrepreneurs, start-ups, investors and international operators who are seeking to establish business operations in Australia and we have a proven track record working with wagering operators. Working with local advisers with deep expertise in the gambling industry will assist applicants to navigate the application process, the likely areas of concern for the Licensing NT and the ability to deal with industry specific issues in a timely and efficient manner.

Our team play a critical role in successfully bringing innovative gambling businesses and their products to market by working in partnership with those businesses and their advisers throughout the process.

Our complete range of legal and advisory services

Our team of experts advise clients in a range of sectors including racing, casinos, lotteries, government and regulators, licensed gaming venues, gaming manufacturers, social gaming across a spectrum of services encompassing legal, advisory and gambling compliance training services. Through the Senet Compliance Academy we provide a full spectrum of gaming compliance training courses to ensure that all staff, bookmakers and wagering operators are complying with their legal and regulatory obligations. To understand how you can meet and exceed your legal and regulatory obligations, contact the expert team at Senet.