Microgaming has powered Canadian online casinos for decades, and after testing a new round of platforms this year, we noticed how much smoother and more consistent their games have become. At the same time, players still ask about taxes just as much as they ask about bonuses or payout times. We pulled everything together – the Microgaming casinos that performed best for real-money play and the tax rules Canadians need to know before jumping in.
Are Gambling Winnings Taxable in Canada?
The simple answer is no – most gambling winnings in Canada are not taxed. According to Canadian tax law (paragraph 40(2)(f)(ii) of the Income Tax Act), money you win from betting or prizes is usually not considered taxable income.
However, there are exceptions:
- Investment Earnings: If you earn interest or dividends from investing your gambling winnings, those earnings are taxable.
- Professional Gamblers: If gambling is your main job, like playing poker or betting on sports, your earnings are considered taxable income. You must report them and may pay between 15% to 33% in taxes, depending on your income. You can use forms like T3, T5, or T5013 to declare this income.
Professional gamblers can also deduct losses from their earnings when calculating taxes. Both federal and provincial taxes apply.
Do Professional Gamblers Pay Income Tax?
Yes, professional gamblers in Canada must pay income tax. You’re considered a professional gambler if you gamble full-time (online or offline), earn a living from it, or aim to make consistent profits.
Some signs that you’re a professional gambler include:
- Gambling is your primary source of income.
- You’ve been making money from it over a long period.
- You have advanced skills and regularly practice gambling.
- You have a structured schedule for gambling activities, similar to traditional work hours.
- You consistently reinvest winnings into your gambling activities to maintain or grow your profits.
Professional gamblers, like poker or blackjack players, are treated as running their own business, and their income is taxable. However, they can deduct losses from their taxable earnings, based on federal and provincial tax laws.
Are Lottery Winnings Taxed in Canada?
No, lottery winnings in Canada are not taxed. These are considered “windfalls,” meaning luck-based gains with no expectation of profit, and the Canada Revenue Agency (CRA) doesn’t treat them as taxable income. This also applies to charitable lotteries and sweepstakes.
However, any money earned by investing your lottery winnings is taxable. For example:
- Interest from depositing your winnings in a bank account.
- Dividends or capital gains from investing winnings in stocks, mutual funds, or other financial products.
To avoid taxes on earnings from investments, consider using a Tax-Free Savings Account (TFSA) to grow your money tax-free. In summary, while the winnings themselves are tax-free, it’s important to plan wisely if you decide to invest or gift part of your windfall. Regular tax rules apply to any income or gains generated from your winnings.
Gambling Tax Regulations for Online Casinos in Canadian Provinces
| Province/Territory | Gambling Tax Regulation |
|---|---|
| Yukon | Regulated by the Yukon Liquor Corporation (YLC). Limited online gambling activity, with revenues typically shared under agreements with larger provincial lottery organizations. |
| New Brunswick | Governed by the Atlantic Lottery Corporation (ALC). Operators pay a share of net revenues; exact percentages vary by agreements. |
| Newfoundland and Labrador | Also regulated by the Atlantic Lottery Corporation (ALC). Online casino taxes are integrated into the ALC’s revenue-sharing framework. |
| Saskatchewan | Overseen by the Saskatchewan Indian Gaming Authority (SIGA) and Saskatchewan Liquor and Gaming Authority (SLGA). Operators pay licensing fees and revenue shares. |
| Ontario | Governed by iGaming Ontario (iGO). Licensed operators pay 20% of gross revenues as tax, one of the most transparent online gambling tax structures in Canada. |
Understanding how gambling tax affects players highlights the importance of choosing platforms that prioritize transparency and fairness. The best Microgaming sites not only offer engaging gameplay but also ensure clear pricing and compliance with tax regulations, establishing a smooth and reliable gaming experience.
What Canadian Online Casino Pays out the Most?
- Spin – High RTP slots & fast withdrawals
- Royal Vegas – Trusted brand with progressive jackpots
- JackpotCity – Big wins on Mega Moolah slots
- LeoVegas – No withdrawal limits, fast payouts
- Ruby Fortune – Secure banking & frequent promotions
- SpinsBro – Unique game selection & promos
- Playfina – Cashback program & weekly promos
Let’s check the top Microgaming platforms in Canada, offering exceptional gaming experiences, player rewards, and seamless compliance with tax regulations.
Spin Casino
Spin Casino exclusively uses Microgaming software to deliver over 450 games. The platform is particularly strong in progressive jackpot slots. It also offers appealing promotions and loyalty rewards for both new and existing players.
Features
- Access to live dealer games for an immersive casino experience.
- Advanced SSL encryption for secure transactions and player data protection.
- Committed customer service via email and live chat is accessible around-the-clock.
- Consistent rewards through daily, weekly, and monthly promotions.
- VIP program with tiered rewards for loyal players.
Royal Vegas Casino
Royal Vegas boasts a Microgaming-powered portfolio of over 500 games. The site is well-known for its intuitive interface and mobile-friendly design, making it easy to enjoy Microgaming’s games on the go.
Features
- Offers multi-language support for an inclusive gaming experience.
- Offers a variety of progressive jackpot games with significant winning potential.
- Seamless mobile app available for iOS and Android devices.
- Employs advanced security measures, including 128-bit SSL encryption, to protect user data.
- Regular tournaments and leaderboard challenges for competitive players.
JackpotCity Casino
As a long-standing Microgaming partner, JackpotCity Casino provides a stellar lineup of over 600 games. With the help of Microgaming’s state-of-the-art technology, the site is especially well-liked for its progressive jackpots and captivating live dealer games. It is a favorite among seasoned players because of its loyalty program and frequent bonuses.
Features
- Accepts a variety of payment options, such as bank transfers and e-wallets.
- Equipped with high-definition live dealer games for a realistic casino experience.
- Boasts a comprehensive loyalty program with tiered rewards.
- Includes progressive jackpot games with life-changing prize pools.
- Offers free spins as part of promotional campaigns and loyalty rewards.
- Provides 24/7 customer support through live chat and email.
LeoVegas Casino
LeoVegas features an impressive mix of games, with Microgaming as one of its key software providers. Players can enjoy a blend of slots and games, alongside games from other developers. Known for its mobile-first design, LeoVegas is ideal for gaming on the go.
Features
- Wide selection of live dealer games, including blackjack, roulette, and baccarat.
- Generous welcome bonus package for new players, including free spins and deposit matches.
- Advanced security measures, including SSL encryption, to safeguard player information.
- 24/7 customer support via live chat, email, and phone.
- Personalized rewards and offers tailored to player preferences.
- Extensive sports betting options in addition to casino games.
Ruby Fortune Casino
Ruby Fortune, powered solely by Microgaming, offers over 450 games. It’s celebrated for its sleek design, user-friendly interface, and a balanced mix of slots and table games. Regular promotions and a generous welcome bonus make it a great choice for new players.
Features
- High-quality live dealer games for an authentic casino atmosphere.
- Fully licensed and regulated to ensure secure and fair gameplay.
- Robust loyalty program with tiered benefits, including cashback and exclusive offers.
- A wide range of payment methods, including PayPal, Neteller, and credit cards.
- Extensive FAQs and support resources for self-service assistance.
Do any Online Casinos Actually Pay Out?
| Name | Payout Speed | Payment Methods | Minimum Withdrawal |
|---|---|---|---|
| Spin | 24-48 hours | Interac, Visa, e-Wallets | $10 |
| Royal Vegas | 24-72 hours | Bank Transfer, Crypto | $20 |
| JackpotCity | 24-48 hours | PayPal, Neteller, Skrill | $10 |
| LeoVegas | Instant-24 hours | Visa, Crypto, e-Wallets | $10 |
| Ruby Fortune | 24-48 hours | Interac, Mastercard | $10 |
| Let’s Go | 24-72 hours | e-Wallets, Bank Transfer | $20 |
| Leon | 24-72 hours | Visa, Mastercard, Crypto | $20 |
Top Slot Games by Microgaming
| Game Name | Description | Key Features |
|---|---|---|
| Battlestar Galactica | A sci-fi-themed slot based on the popular TV series, featuring characters and missions. | Multi-level gameplay and cinematic visuals. |
| Game Of Thrones | A fantasy slot based on the legendary TV show, with house-based bonuses. | 243 ways to win and Iron Throne scatters. |
| Bar Bar Black Sheep | A quirky farm-themed slot with humorous visuals and exciting payouts. | Bar Bar Bonus and multipliers. |
| Cricket Star | A cricket-themed slot with dynamic graphics and sports-based gameplay. | Rolling reels and wild wickets. |
| Mega Moolah | The legendary progressive jackpot slot known for creating millionaires. | Jackpot wheel and African safari theme. |
What to Look for When Choosing a Microgaming Casino
Microgaming Software Systems Ltd is a well-established provider. Having developed its first games in 1994, the company claims to have created the world’s first online casino. Here’s a simple guide to help you choose the best Microgaming platform.
A Trusted Industry Leader
Microgaming is one of the top names in the gaming industry, powering over 400 brands with its extensive library of games. Based in the Isle of Man, the company is particularly famous for its progressive jackpots, which are linked across the best online Microgaming casinos, leading to record-breaking payouts. In fact, Microgaming holds the record for the largest online jackpot ever paid – €6.37 million.
Familiar Games for Every Player
Even if you don’t recognize the Microgaming name, chances are you’ve enjoyed their games. They are behind some of the most popular branded slots.
Not Just About Slots
While slots are a major highlight, Microgaming also excels in other areas. The company operates one of the longest-running online poker networks, the MPN, making it a top choice for poker enthusiasts as well.
Choosing a Microgaming site means gaining access to reliable software, exciting games, and record-breaking jackpots.
FAQs
Find answers to the most common questions about Microgaming, from their extensive game library to what makes them a leader in online casino gaming.
Winnings themselves are not taxable, but any earnings generated through investments, such as interest or capital gains, are subject to standard taxation rules.
As one of the pioneers in online gambling, Microgaming started in 1994 and has consistently focused on delivering cutting-edge technology and reliable gaming experiences. Their commitment to innovation has earned them a strong reputation, with games now available on over 160 platforms in 24 languages, compatible with PC, Mac, and mobile devices.
Microgaming’s Progressive Jackpot Network is a standout favorite, thanks to its massive payouts. Players have collectively won over $320 million, including a record-breaking single jackpot of $6.37 million.