On July 20, 2018, the Act to Implement Specified Integrated Resort Areas (the 'Casino Implementation Act') passed the Japanese Diet which legalized gambling to be operated by private entities in Japan. While there are many aspects which have been delegated to the determination by the ministry ordinance (in fact there are 331 items that are up for the ministry ordinance to determine), below are several key points of the Casino Implementation Act:
- Japan is often viewed as the Holy Grail of gaming in Asia due to its wealthy population, proximity to gamblers from China and an appetite for other forms of legal gambling, including horse racing.
- The laws in Japan surrounding gambling are extremely strict, yet they are still over 20,000 gambling halls in Japan and plenty of back-alley casinos. Japan has recently considered the prospect of legalizing gambling and permit it in certain areas of the country. Games like Pachinko have always been highly popular in Japan and is an estimated.
- Gambling in Japan has been illegal since 1907. Given the indefinite delay on casino resorts in Japan, the answer to the question 'is gambling illegal in Japan?' will remain 'yes' for the foreseeable future. What sports can you gamble on in Japan? Racing bets are one of the only legal forms of gambling in Japan.
- Size of casino facilities
While the Casino Implementation Act is still silent on the actual limitation on the size of the casino as this has been relegated to the cabinet ordinance (Article 41 of the Casino Implementation Act), the working team concerning the ruling party's IR Implementation law issued their opinion regarding the size of the casino floor. Considering that the location and size has yet to be defined, rather than setting a limitation on the absolute value, it was determined that the gross floor area for the casino in IR facilities shall be limited to 3% or less.
The basis of the calculation shall be 3% of the 'gross floor area' and not the land area, which should ensure the casino to be 'only a part of the facilities.' - Limitation on the number of times of entry and means to verify identity
Chapter VII of the Casino Implementation Act provides for a strict limitation on the number of times of entry and entry fee to prevent problem gambling. While there is no limitation on the number of times of entry for non-Japanese residents, the Japanese residents are limited to '3 times in 7 days + 10 times in 28 (Article 69 of the Casino Implementation Act), and 'My Number cards' shall be utilized for the verification of identity and the number of times of entry (Article 70 of the Casino Implementation Act).
- Entry fee
The entry fee will be imposed to Japanese residents in the amount of 6,000 yen, the half of which shall be paid to the national government (Article 176 of the Casino Implementation Act) and the other half to the local government (Article 177 of the Casino Implementation Act).
- Levy
While there was a discussion of whether a progressive system could be imposed, since this may reduce the incentive for entities to expand their business by additional investment and presents a risk to discourage investment to realize the commonwealth, the levy was fixed at the rate of 30% of gross gaming revenue, half of which shall be paid to the national government (Article 192 of the Casino Implementation Act) and the other half to the local government (Article 193 of the Casino Implementation Act).
- Number of IR areas
Article 9 of the Casino Implementation Act provides that the number of location shall be limited to three (3). However, the Casino Implementation Act provides that after five (5) years have passed since the first designation, the Casino Implementation Act as a whole shall undergo a review and after seven (7) years have passed since the first designation of the IR, the number of location will be specifically reviewed giving consideration to local areas which desire and are preparing to establish the facilities while securing a period for determining the effect of IR (Article 4 of Supplementary Provisions to the Casino Implementation Act).
- Relationship with cities where the facilities will be built
The Casino Implementation Act provides that the enforcement policy to be prepared by the local government requires consent of the city where the IR will be actually located (Article 6 of the Casino Implementation Act), requiring a method of consensus-building at the ground level.
As mentioned above, while the details on how to implement casinos are to be determined by the ministry ordinance, some of the major items which have been debated for some time are now clarified by the Casino Implementation Act to a certain extent, and it should be fair to say that Japan has taken a big step closer for the first ever opening of the legalized casinos.
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Japanese Prime Minister Shinzo Abe's cabinet approved regulations for gambling resorts, the first of which could open in Osaka as soon as 2024 and provide a new source of tax revenue. Text 12 TOKYO—Japan legalized casino gambling and cleared the way for three casino resorts, giving companies such as Las Vegas Sands Corp. And MGM Resorts International their first chance to open.
Key Contacts
Hitoshi IshiharaHitoshi Ishihara is a partner at Anderson Mōri & Tomotsune. As the sole Japanese attorney admitted to the International Masters of Gaming Law (IMGL), Mr Ishihara has extensive focus and knowledge concerning Japanese gaming law, including the recently legalized casino operations in Japan, and has been recognized as the Japanese Gaming Lawyer of the Year by multiple sources in recent years. Mr Ishihara also provides a variety of legal services to his clients establishing and doing business in Japan, with an exceptional focus on cross-border transactions. Also, in the intellectual property field, Mr Ishihara has extensive experience in IP licensing and transactions, and also provides advice on regulatory issues. His distinctive English skill, backed by over seven years' experience in the United States, enables him to effectively bridge the linguistic and cultural gap faced by his clients. He is admitted in both Japan and California (United States). |
Check all the info needed on online gambling in Japan. Is Online Gambling Legal in Japan?
Introduction
Often times casino online game players are met with very many rules and regulations that tend to get in the way of their epic game time moments.
When it comes to casino online game players that find themselves in Japan, there are a few legalities that these players need to take into consideration.
From the onset, it must be clarified that under the Criminal Code, chapter 23, gambling in Japan is generally illegal. There are indeed a few exceptions, where players in Japan are given free reign to play to their heart's content, but overall, gambling in Japan is not legal and is fully banned.
Having said that, casino online players are quite innovative and seem to be able to find loopholes when it most matters, therefore any ardent casino online game player seeking to put some hours in on their favourite casino online slot game is able to do so, even if playing in Japan. We'll discuss how this is made possible below, simply put, even in the far reaches of Japan, casino online players are able to find a way to get their fun & games on.
Is it legal to gamble online in Japan?
As mentioned above, casino online gambling, and actually gambling, in general, is not legal in Japan. Under the Criminal Code, chapter 23, the generalised practice of gambling, in a land-based casino and via online casino gambling sites is banned, and not supported by any regulatory boards in Japan.
However, there are a few exceptions to the rule, where a few gaming enterprises are altogether accepted and legal to take part in, provided they fall under the following categories:
- Horse racing
- Motorsports racing
- Bicycle racing
- Motorboat racing
The above types of races allow for gambling to take place around these activities, and are the exception to the Criminal Code chapter 23 law.
There is also an exception to certain gambling games, where they are legal and playing them is encouraged, as it is considered to be amusement and not gambling. The games in question happen to the be the following:
- Mahjong
- Pachinko
- Lottery games
When a Japanese player takes part in any of the above-mentioned activities or sports and decides to place a bet or wager on the outcome, there is no further legal repercussions or ramifications associated as these games are altogether legal to play.
Tell me more
Although casino online gambling is at present considered an illegal practice in Japan, there have been petitions and bills drafted by certain individuals, who would like to see the casino online gambling industry ban be lifted in Japan, and accordingly, there has been a bill drafted in April 2013, requesting the legalisation of land-based casinos in Japan.
As of yet this bill is still on the medium-term agenda of Japan's government's radar and appears to have quite a bit of political support in favour of passing this bill. Should this bill be passed, it will, of course, only have positive implications for the world of casino online gambling as well – but until that happens, online casino game players will have to continue forfeiting their right to play their casino online slot game while in Japan.
The other alternative, however, is for the casino online game player is to log in to an offshore online casino that accepts players from Japan, and continue to play their hand at the various casino online game titles available to them from that particular online casino brand. This is indeed a viable option for casino online game player in Japan, as the government has not placed a ban on offshore online casinos catering for the players in Japan. There is also no record of any casino online player from Japan being prosecuted for playing via an offshore casino online gambling site.
So, as is quite plain to see from the above-mentioned factors, it is quite clear that although Japan has banned online poker and internet casino gameplay within their jurisdiction, there is still a light at the end of the gaming tunnel, so to speak, as casino online players are still able to access their favourite casino online gaming titles via the use of an offshore gaming portal.
Casino Legal In Japanese
Conclusion
Playing at an online casino in Japan is not overly done, and even given the largely populated underground gambling circles in Japan, there is still an unwritten rule that casino online game players know very well when playing in Japan.
There is a loophole that many a casino online game player will choose to frequent, in lieu of grabbing that opportunity to play a casino online game title; and that loophole entails making use of an offshore casino online gambling site. Usually the offshore casino online gambling site will have a casino online gambling licence issued from Macau, which means that the casino online gambling site in question may tend to operate from the Macau shores, in which case it is still quite legal for casino online game players to access and play their favourite casino online game titles, from this type of offshore casino online gaming site.
Is Casino Gambling Legal In Japan
However, there are a few exceptions to the rule, where a few gaming enterprises are altogether accepted and legal to take part in, provided they fall under the following categories:
- Horse racing
- Motorsports racing
- Bicycle racing
- Motorboat racing
The above types of races allow for gambling to take place around these activities, and are the exception to the Criminal Code chapter 23 law.
There is also an exception to certain gambling games, where they are legal and playing them is encouraged, as it is considered to be amusement and not gambling. The games in question happen to the be the following:
- Mahjong
- Pachinko
- Lottery games
When a Japanese player takes part in any of the above-mentioned activities or sports and decides to place a bet or wager on the outcome, there is no further legal repercussions or ramifications associated as these games are altogether legal to play.
Tell me more
Although casino online gambling is at present considered an illegal practice in Japan, there have been petitions and bills drafted by certain individuals, who would like to see the casino online gambling industry ban be lifted in Japan, and accordingly, there has been a bill drafted in April 2013, requesting the legalisation of land-based casinos in Japan.
As of yet this bill is still on the medium-term agenda of Japan's government's radar and appears to have quite a bit of political support in favour of passing this bill. Should this bill be passed, it will, of course, only have positive implications for the world of casino online gambling as well – but until that happens, online casino game players will have to continue forfeiting their right to play their casino online slot game while in Japan.
The other alternative, however, is for the casino online game player is to log in to an offshore online casino that accepts players from Japan, and continue to play their hand at the various casino online game titles available to them from that particular online casino brand. This is indeed a viable option for casino online game player in Japan, as the government has not placed a ban on offshore online casinos catering for the players in Japan. There is also no record of any casino online player from Japan being prosecuted for playing via an offshore casino online gambling site.
So, as is quite plain to see from the above-mentioned factors, it is quite clear that although Japan has banned online poker and internet casino gameplay within their jurisdiction, there is still a light at the end of the gaming tunnel, so to speak, as casino online players are still able to access their favourite casino online gaming titles via the use of an offshore gaming portal.
Casino Legal In Japanese
Conclusion
Playing at an online casino in Japan is not overly done, and even given the largely populated underground gambling circles in Japan, there is still an unwritten rule that casino online game players know very well when playing in Japan.
There is a loophole that many a casino online game player will choose to frequent, in lieu of grabbing that opportunity to play a casino online game title; and that loophole entails making use of an offshore casino online gambling site. Usually the offshore casino online gambling site will have a casino online gambling licence issued from Macau, which means that the casino online gambling site in question may tend to operate from the Macau shores, in which case it is still quite legal for casino online game players to access and play their favourite casino online game titles, from this type of offshore casino online gaming site.
Is Casino Gambling Legal In Japan
It is always important to follow the rules and laws of the land, and of course, there is no way shape or form that illegal casino online gameplay practices are condoned by us, which is why the fact that offshore casino online gameplay is not a practice banned by the Japanese government.
Where there is will, there will be a way found and implemented. And when it comes to casino online players in Japan, although it is not legal to take part in casino online gambling in Japan – it is very much legal to access those offshore casino online gambling sites accordingly.
The fact that there is still a great opportunity for any good casino online slot game player, whether situated in Japan or elsewhere, to be able to access a gaming portal via the offshore casino online platforms bodes well for game player the world over.
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