Are you considering entering Ontario’s gaming market? Ensuring compliance with AGCO’s financial reporting requirements is essential. This includes:
Submitting audited financial statements within 120 days following the fiscal year-end.
Providing an audited schedule of gross gaming revenue, along with a reconciliation against the operator’s revenue share, by 15 May for the period ending 31 March.
Ensuring the submission of agreed-upon-procedures regarding control assurance by 15 June.
The Ontario gaming market has seen significant growth and development in recent years. It includes a variety of gaming options such as casino games, slots, live and computer-based table games, and peer-to-peer bingo. According to iGaming Ontario's Market Performance Report, casino games accounted for $18.9 billion (83%) of total wagers and $644 million (78%) of gaming revenue. The market performance data covers all iGaming Ontario Operators with gaming websites that had trading activity from the market's launch on April 4, 2022, until the most recently reported month. This data is updated monthly to provide the most current insights into the market's performance.
Ontario's B2C gaming reporting requirements are governed by the Alcohol and Gaming Commission of Ontario (AGCO). The AGCO employs a standards-based approach, focusing on outcomes rather than prescriptive measures. This allows operators and suppliers the flexibility to develop control activities that best suit their business while meeting regulatory objectives. All operators are required to submit an independently audited document, known as a Control Activity Matrix (CAM), detailing the processes and controls in place to meet the AGCO's standards. Within six months of commencing operations, operators must demonstrate their compliance through a competency demonstration, which emphasises key compliance priority areas.
The Gaming Control Act of 1992 provides the legal framework for commercial gaming within Ontario. This framework includes various technical requirements for licensing and operation, such as compliance with anti-money laundering (AML) reporting requirements, including reporting on politically exposed persons, suspicious transactions, and prohibited players. The AGCO's approach ensures that operators maintain operational flexibility while adhering to regulatory standards, thereby reducing the regulatory burden and allowing for efficient business operations.
In conclusion, understanding and adhering to Ontario’s B2C gaming reporting requirements is crucial for compliance and success. Staying informed on regulatory changes and best practices helps operators stay ahead in the market.
PwC’s legal team is available to assist in navigating these complexities and staying compliant.
