Taiwan is formally referred to as the Republic of China (ROC). While there are some categories of gambling that are legal and may be practiced legally, there are others that are still against the law regardless of how strict or lenient the laws of a particular country seem to be. This paper also discusses sports betting legality in Taiwan for the Taiwan bookmakers: a close look at gambling laws in Taiwan, history of the laws, regulatory bodies, regulations on obtaining licenses, taxes, and variety of gambling that is legal and prohibited in Taiwan.
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Table of Contents
Summary of Key Events
Legal Regulation on Gaming in Taiwan
Criminal Law
Ban on gambling has been provided for in the Criminal Code of the Republic of China which was enacted in 1935. The key articles governing gambling include:
- Article 266: Regarding the behaviors of wagering on property in a public area or an area that is open to the public, the violators shall be subjected to a not more than 1,000 yuan fine. However, this is not so with individuals wager on goods that are manufactured for passing time entertainment. Any item that is used in connection with gambling, which resides on the gambling table or chip exchange place, will belong to the casino, regardless of prior ownership.
- Article 267: When practiced habitually and this attracts a imprisonment of up to two years and/or a fine of not more than 1000 yuan.
- Article 268: Engaging in gambling parties or operating a gambling place for purposes of gain, can attract imprisonment of up to 3 years and or fine not exceeding 3,000 yuan.
- Article 269: Any individual who would like to sell lottery tickets or run a prize savings scheme will face imprisonment which may not exceed one year, criminal detention, and a fine of not more than 3000 yuan provided that the individual has not obtained a license from the government.
- Article 270: The official who helps to conceal the undertaken gambling crimes will have the punishment added by one-half.
Social Order Maintenance Law
- Article 84: Betting in a restricted area or a gambling house which is not opened to the public can be fined NT$9,000.
History of Gambling Legislation in Taiwan
The evolution of gambling laws in Taiwan reflects the island’s cautious approach to regulating this activity:
- 1935: The Criminal Code of the Republic of China is made and made to elaborate the crime of endangering public order by experiencing public gambling and located in gambling places.
- 1951: The official form of gambling is invented – the unifying invoice lottery is created.
- 1997: One can recall a recent case of match-fixing in baseball players of Taiwanese team which sparked off an increased awareness in Illegal Betting.
- 2009: Modifications of Outlying Islands Development Law permit construction of casinos on Kinmen, Matsu and Penghu with a condition of a public vote.
Regulatory Agencies
The primary watchdog agency governing gambling activities in Taiwan in the Ministry of Finance which supervises the state-run lottery programs and checks to whether the Legal stipulations are being followed. Moreover, it is essential to note that the Ministry of Justice has the responsibility of implementing anti-gambling laws with a bearing to the prohibited operation.
Licensing and Fees
The only legal kind of betting that still needs a licence is running the state authorised lotteries. Casinos are allowed in offshore islands where referendums have been passed but as yet no casino has been developed. In this system, ant and stringent political requirements for issuing license and high fees have been incorporated to suppress the unlawful gambling.
Taxes and Fees
The tax structure for gambling in Taiwan is designed to maximize government revenue while limiting the proliferation of gambling activities:
- Lottery Winnings: Provided that winnings are subject to income tax but some of these winnings cannot be taxed.
- Casino Operations: If established, would be heavily taxed through corporate income tax as well as various taxes specific to the gaming industry.
Prohibited and Allowed Bets
Prohibited Bets
Casino style games, poker machines, and even sports bets are examples of gambling that is restricted. The law strictly forbids:
- Engaging in operation or use of gambling establishments.
- Being involved in the issuance of lottery or participating in a prize savings scheme without going through the approval channel.
Allowed Bets
The only legal forms of gambling in Taiwan are:
- State-run Lotteries: Other legal lotteries; the Unified Invoice Lottery.
- Special Days or Restrictions: Some games, for example poker and mahjong are banned except when the Chinese Lunar New Year is being celebrated.
Sports Betting of Taiwan Bookmakers
Sports betting, still being a very sensitive and hot topic in Taiwan. Thus, in spite of a substantial share of the population participating in illegal sports betting, especially in baseball, the government of this country has not outlawed it but has not properly legitimize this activity yet. Though, the available recognition of potential legalization could be seen, taking into account the current trends associated with sports betting and the necessity for the government to have more income.
Sporting Milestones
- 1935: Criminal Code of the Republic of China is issued and the unlawful gambling prohibition on the populace is initiated.
- 1951: Introduction of the single purpose invoice lottery legalising state managed lotteries.
- 1997: A recent game-fixing scandal in Taiwanese baseball has shed the light on the issues of Illegal sports betting.
- 2009: Legalization of the rights to build casinos inside the offshore islands that are subject to holding of local referendum.
- 2012: To be specific, the Matsu Islanders expressed their approval of the construction of a casino with a 57% approval rating.
Conclusion
In conclusion, as much as the Taiwanese legal system is very closed off to a lot of gambling activities, there have been current debates and legislative actions toward opening up legal gambling particularly betting on Sports and Taiwan Bookmakers. Currently, those involved should ensure that they acquaint themselves with the current laws and the possible alterations to the law to be on the right side of the law as well as to be ready to exploit as many opportunity windows as is could be created in future.
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