Can You Gamble Online In Texas
Again, according to Texas Penal Code 47.02, participating in Texas online gambling would be considered a Class C misdemeanor, and it could cost you up to $500 in fines. We scoured the internet for examples of people who got in trouble for playing at real money Texas casino sites and came up short.
With 27.5 million residents, Texas is America’s second most-populous state.
This means that the Lone Star State could make a fortune through gambling taxes.
- At this time, it is illegal to operate any type of online gambling site within the state of Texas since the state has not regulated this gaming form. That being said, the state laws in Texas do not prohibit residents from engaging in legally licensed and regulated offshore online gambling sites.
- Online casinos in Texas are not regulated, and it is currently illegal to operate a real money site in the state. Casino sites offering gambling games like slots, poker, and blackjack are prohibited, but the law does not explicitly forbid Texas players signing up to licensed off-shore sites.
But Texas doesn’t take advantage of this opportunity because they have
limited casino gaming and live poker.
Not surprisingly, Texas doesn’t have legal internet gambling either.
But offshore gaming sites still target their large market.
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Online Gambling and Texas Law
Texas doesn’t address internet gambling in their criminal code. Furthermore,
they don’t mention the words “computer,” “internet,” or “online.”
But this doesn’t mean that internet gambling is legal here. In fact, the
state’s broad laws make it illegal for offshore gaming sites to operate within
their borders.
We’ll cover this and other important aspects of the state’s online gaming
stance below.
Is Online Gambling Legal in Texas?
Let’s begin with code 47.03 of the criminal code, which states that a person
“commits an offense if he intentionally or knowingly does any of the following
acts:”
- Earns profits from a “gambling place.”
- Bookmaking.
- Earns profits from being “a custodian of anything of value bet or offered to be bet.”
- “Sells chances” on any game, contest, or political nomination.
- Sets up and runs a lottery.
The first-time charge for any of these offenses is a Class A misdemeanor,
which is a light punishment for illegal gambling operators.
Nevertheless, it’s clear that Texas doesn’t allow any form of gaming beyond
what they’ve specifically approved. Internet gambling doesn’t fall under this
umbrella, therefore it’s technically illegal in the state.
Why do Gambling Sites Operate in Texas?
As just discussed, offshore gaming sites are not considered legal
in the Lone Star State, but they continue to
operate here for three main reasons:
- Texas doesn’t have a regulated iGaming market.
- Texas hasn’t taken legal action against offshore sites.
- The Texas Constitution doesn’t specifically make internet gambling illegal.
These three conditions are present in most states, which is why most of them
are served by offshore operators.
Even Louisiana, South Dakota, and Washington – which explicitly outlaw online
gambling – have problems with offshore sites.
This means that the threat of legal action is the biggest condition to
whether internet gambling sites serve a state.
Texas has never pursued legal action against offshore sites, and the status
quo is likely to continue for a while.
Will I be Arrested for Gambling Online in Texas?
It’s possible, but there’s almost no chance that you’ll be arrested.
Code 47.02 states a gambling offense occurs if somebody:
- “… makes a bet on the
partial or final result of a game or contest or on the performance of a
participant in a game or contest.” - “… makes a bet on the
result of any political nomination, appointment, or election or on the degree of
success of any nominee, appointee, or candidate.” - “… plays and bets for
money or other thing of value at any game played with cards, dice, balls, or any
other gambling device.”
Anybody who commits one of these offenses is subject to a Class C
misdemeanor. Exceptions are made for those who engage in social gambling and /
or are involved in a skill-based contest where everybody has the same chance.
Perhaps an argument can be made that online poker falls into this category
because it’s skill-based. But by and large, internet gambling is illegal in the
Lone Star State.
Nevertheless, they haven’t arrested anybody for playing online casino games
or placing sports bets. This gives us confidence that you won’t be arrested for
the activity.
Furthermore, the U.S. Department of Justice issued a 2011 opinion that the
Wire Act – a
federal ban on certain types of gambling – only applies to sports betting.
Are Offshore Gaming Sites Safe?
This depends upon the specific site you’re dealing with. But for the most
part, offshore gambling sites are safe.
The risk comes when considering that offshore sites are based outside of the
U.S. This means that they’re neither licensed in America nor directly subject to
U.S. laws.
The matter can be scarier given that a small percentage of nefarious
operators have closed without repaying player deposits..
But here’s the thing: most offshore operators realize the value in repeat
business.
If they don’t have good customer service or process cashouts in a timely
manner, they’ll receive less repeat players. Long story short, you can have
confidence that most internet gambling sites will serve you well.
How Do I Pick the Best Gaming Sites?
To choose safe gaming sites, you should read reviews of any prospective site.
The more reviews you read, the better you’ll be able to make an informed
deposit.
Another thing you should do is visit the site directly and look for certain
aspects. Reviews are great, but it’s even more effective if you do research
yourself.
Here are some key points that you want to look for:
- Longevity and Reputation –
The longer a site is in business, the more likely it is that they properly serve
players. And when you combine this with a good reputation (via reviews), you
have a winning site. - Game Variety –
Everybody
loves a nice variety of games. This is why you want to visit a site and see if
they have the games / sports lines you want. - Banking Options –
If real
money iGaming is your goal, then you need to make sure that there’s a deposit
option you can use. - Customer Support –
This is
a key point covered in reviews. You can also visit directly and live-chat with
customer service to see how friendly and knowledgeable they are. - Bonuses & Promotions –
It’s
always exciting to earn cash on the side of your play. Check out the welcome
bonus and promotions at any site you’re interested in. - Bonus Terms & Conditions –
Click the terms and conditions underneath the welcome bonus to see what wagering
requirements must be met. The industry standard for online casino bonuses is 40x
rollover (or 20x bonus + deposit).
Also On This Page
Gambling Venues in Texas
The History of Gaming Laws in Texas
Texas Gambling FAQ
The Furture of Gambling in Texas
More Gambling Laws in Texas
- Casino Games (Class II Legal)
- Sports Betting (Illegal)
- Poker (Legal)
- Racing Betting (Legal)
- Lottery (Legal)
- Bingo (Legal)
- Charitable Gambling (Legal)
- Social Gambling (Legal)
Casinos: Legal
Texas only has two casinos spread throughout its vast 269,596 square miles.
This includes the Kickapoo Lucky Eagle Casino and Aransas Queen cruise ship.
The Kickapoo Lucky Eagle is located along the Mexican border and offers Class
II gaming. Class II machines are similar to regular slot machines, except that
results are determined by historic horse races or electronic bingo cards
(instead of random number generators).
The Aransas Queen is a huge yacht that began sailing out of Corpus Christi in
2015. They’re only allowed to offer gaming when in international waters.
It remains to be seen how successful the Aransas Queen will be. Texas has had
multiple gambling cruises that have failed over the years.
This includes the Le Mistral, the original gambling cruise ship that set sail
from Galveston in 1988; it went bankrupt in 1994.
Several other Texas gambling cruises have either gone bankrupt or moved to
different states seeking more profitability.
Charitable Gambling: Legal
Under the Charitable Raffle Enabling Act, Texas allows licensed charities to
offer bingo and raffles. Unfortunately, this means that casino nights and Texas
hold’em tournaments are out of the question.
Lottery: Legal
Legalized in 1992, the Texas Lottery sells a wide range of instant and
drawing games. Available games include: All or Nothing, Cash Five, Daily 4, Pick
3, Mega Millions, Powerball, Texas Triple Chance, and Texas Two Step.
Poker: Legal
The Kickapoo Lucky Eagle Casino has a small poker room. Other than this, the
only ways to play poker in Texas include offshore gaming sites and social games.
Racing: Legal
Texas is one of the few states that offers active horse and dog racing
tracks. They currently have four tracks operating in the state.
Social Gambling: Legal
Code 47.02 of the Texas criminal code includes exemptions for social gaming.
These include the following:
1 – “The actor engaged in gambling in a private place.”
2 – “No person received any economic benefit other than personal winnings.”
3 – “Except for the advantage of skill or luck, the risks of losing and the
chances of winning were the same for all participants.”
As long as the host isn’t profiting from your social gambling function
through a house edge, food, or drinks, the game should be fine. Also, make sure
that no illegal firearms or drugs are on the premises.
Gambling Venues in Texas
As discussed before, Texas only has two casinos – the Aransas Queen cruise and
Kickapoo Lucky Eagle.
Lucky Eagle is by far the largest of these casinos, sporting over 3,300 Class
II gaming machines. But it’s also in the remote Lucky Pass area on the Mexican
border, making it difficult for many Texans to visit.
Aransas Queen has over 200 gaming machines and some table games. This mega
yacht must reach international waters before gambling commences.
In addition to two casinos, Texas also offers Class II pull tab machines at
parlors in the Dallas, Houston, and San Antonio areas.
These are electronic pull tab machines that look and play like slot machines.
One stipulation to these games is that individual payouts can’t be any larger
than $5.
Lucky Eagle Casino & Hotel
794 Lucky Eagle Drive
Eagle Pass, TX 78852
History of Gambling in Texas
Dating back to when U.S. settlers arrived in Mexican Texas, the territory was
filled with brothels, saloons, and gambling halls. This continued long after
Texas became a state in 1845.
Professional gamblers like “Doc” Holliday and “Lottie Deno” Thompkins roamed
the plains of Texas in the mid and late 1800s.
The Lone Star State finally began cracking down on vices in the early 1900s.
Most gambling halls were banned and closed by 1917.
Texas didn’t officially legalize any gambling activities until 1933, when
they approved pari-mutuel betting. Just four years later, the state voted to
shut down pari-mutuel wagering.
The see sawing continued in 1987, when Texas legalized pari-mutuel gambling
for good.
The state also has a strange history with tribal casinos. With help from the
federal government, they shut down the Tigua Tribe’s Speaking Rock casino in
2002.
But the Kickapoo Casino has been in operation ever since 1996 because they
offer Class II gaming. Governor George W. Bush questioned the validity of this
casino, but the Kickapoo won a pre-emptive lawsuit against the state.
Texas also legalized casino cruise ships in 1988, but ships were originally
forced to visit a foreign port of call (Mexican villages) before docking in
Texas. This only lasted a year before Galveston officials got the port of call
portion repealed.
Despite their limited gambling, Texas has had activity on the iGaming
legislative front.
U.S. Rep. Joe Barton has introduced federal online poker legislation twice.
Texas also had two other iGaming bills introduced in 2013, but none of these
efforts came to fruition.
Texas Gambling FAQs
With no specific laws addressing internet gambling and a host of available
offshore sites, Texas iGaming is confusing to many gamblers.
Here are some FAQs we’ve received on the Lone Star State that can help clear
up the matter.
Are Daily Fantasy Sports Legal in Texas?
According to Texas Attorney General Ken Paxton, daily fantasy sports (DFS)
aren’t legal. Here’s an excerpt from his
January
2016 letter:
“Because the outcomes of games in daily fantasy sports leagues depends
partially on chance, an individual’s payment of a fee to participate in such
activities is a bet. Accordingly, a court would likely determine that
participation in daily fantasy sports is illegal gambling.”
DraftKings, the industry’s largest site, has refused to take this ruling
lying down. They launched a lawsuit against Paxton and continue to operate in
the Lone Star State; FanDuel, however, exited Texas.
State Rep. Richard Raymond introduced legislation that would’ve classified
DFS as a skill based activity, but House Bill 1457 failed to gain any serious
attention.
When Will Texas Legalize Online Gambling?
It could be a decade or more.
Texas isn’t receptive of new forms of gambling. The casinos and gaming
parlors they have skirt state laws by offering Class II machines that operate
through loopholes.
With no commercial casino industry to lobby for internet gambling, it seems
unlikely that the activity will be available any time soon.
Strangely enough, though, Texas has had federal legislative efforts come out
of their state.
U.S. Representative Joe Barton (R-Tex.) proposed the Online Poker Act of
2011, which would’ve legalized online poker on a federal level. But HR-2366
didn’t get any significant attention in Congress.
In 2013, Barton introduced another legislative effort called the Poker
Freedom Act. This also sought to regulate internet poker on a federal level,
while leaving online casino games up to individual states.
The same year saw former State Senator Leticia van de Putte introduce State
Bill No. 1103. This legislation would’ve allowed states to opt in to federally
legalized internet poker.
None of Texas’ iGaming bills have gotten very far. But they do show that
state politicians at least consider the matter.
Looking at Texas today, though, we don’t see them regulating online gaming
for another 10 years.
Why Doesn’t Texas Bust Internet Gambling Sites?
Texas will bust an online gambling operation – they just haven’t shown the
willingness to cross seas to do it.
In 2013, state police raided a
$5 billion online sports betting operation in the North Texas area.
The eighteen-member ring accepted both online and in-person bets, making $200
million in profits from 2007 to 2011.
The main reason why this group was busted is because they operated on US
soil.
It’s an entirely different ballgame to pursue offshore gaming sites operating
in countries like Antigua and Barbuda, Costa Rica, and Panama. The only state
that has successfully done this is New York, which was backed by the U.S.
Department of Justice.
Because of their size, Texas has the resources to pursue offshore gambling
sites. But like most other American states, they view other things as more
important than chasing gambling sites.
Can I Gamble on my Smartphone or Tablet in Texas?
Gambling on your smartphone isn’t technically legal. But we don’t see you
ever being arrested for it.
Code 47.01 (4) states the following about illegal gambling devices:
“…means any electronic, electromechanical, or mechanical contrivance not
excluded under Paragraph (B) that for a consideration affords the player an
opportunity to obtain anything of value, the award of which is determined solely
or partially by chance, even though accompanied by some skill, whether or not
the prize is automatically paid by the contrivance.”
This could include a smartphone or tablet if Texas felt like pursing mobile
gamblers. But they’ve never arrested anybody for internet gambling, and we don’t
see this changing anytime soon.
Additional Resources
Here’s information on Texas gaming agencies and where you can find the
state’s gambling laws.
This website features many laws related to Texas’ gambling industry.
This page covers multiple gambling-related FAQs with Texas State Attorney
General Ken Paxton.
This page offers a comprehensive look at laws for Texas bingo, general
gambling, lotteries, and racing.
The Texas Racing Commission website features information on the state’s dog
and horse racing industries.
The Future
Texas features most forms of gambling, although they’re very limited in the
casino, pari-mutuel, and poker categories.
The Lone Star State has been conservative on the gambling front ever since
the lawless 1800s. This means that they’re slow to adapt to new forms of gaming.
The same holds true for internet gambling because Texas hasn’t legalized
casino games, poker, or daily fantasy sports.
Surprisingly, Texas has had politicians try to legalize online poker on a
federal level. But these efforts have never earned a serious look.
Odds are that iGaming will never be legalized on a federal level until the
state has commercial casinos. This has been an absolute condition thus far in
regulated states like Delaware, Nevada, and New Jersey.
Given that Texas has no immediate plans for casinos, this alone could take 5
to 10 years to happen. Then, we’re looking at a few more years until the Lone
Star State regulates internet gambling.
Until that happens, you’re free to enjoy offshore gaming sites, because Texas
ignores both operators and players.
Texas is a big place with a big personality. Tall hats, tall hair, and tall tales are what the state is known for.
Gambling laws in Texas, however, are not so grand. If you are interested in knowing, “Is online gambling legal in Texas?” read on.
Texans use the word “freedom” quite a bit. They tend to use it in terms of 2nd Amendment gun laws that were created to help militias muster quickly against invading armies.
Despite the existence of several military branches and a National Guard, this constitutional amendment has come to be equated with personal freedom, not just in Texas, but across the nation.
However, you can’t play poker with friends in Texas. Not even in your own home, not with your own money, and not even if the curtains are closed.
When it comes to gambling, TX has less freedom than nearly any other state. There are, however, Texas online poker rooms that do accept players from the Lone Star State.
There is one casino on tribal lands within the state, owned by the Kickapoo tribe. There are other federally-recognized tribes in the state, but TX has fought assiduously against them opening their own gambling sites.
Federal discussion of the issue is now pending. Thus, many Texans turn to online casinos to play slots, roulette, baccarat, and other games.
And Yet…There Is Gambling in Texas
The state lottery is very popular in the state. Lotteries are the purest form of gambling available, involving no skill to win, unlike many casino games where a player can hedge his or her bets or watch the play and enter at optimal times.
Furthermore, betting on dog races and horse races in Texas is not only legal, but this betting activity attracts big crowds.
There is no rhyme or reason as to why these betting activities are legal in the state but other games are not. Even carnival games are forbidden from using stuffed animals to lure elementary school-aged players!
There is hope on the horizon for sports bettors. A lengthy bill was introduced to the legislature in 2019 to allow for and create parameters around legal sports betting in the state. The decision has not been made yet, but we suspect we will see some forward movement on this legislative proposal in 2020 or 2021.
If and when the bill is passed, sportsbook operators will need to pay a fee of a quarter-million dollars. The number of licenses that would be authorized is unknown.
As to daily fantasy sports, state legislators have made confusing remarks about the pastime. Is it legal or not? There was an attempt several years ago to declare DFS illegal, but DFS is still an active reality in the state.
There are DFS sites licensed and regulated elsewhere that do accept Texas residents, but be aware that, given the confounding state of TX gambling laws, you do so at your own risk.
Is Online Gambling Legal in Texas?
It’s not legal for any Texas-based operator to offer real money online gambling to Texas residents. However, there are sites outside the state that are licensed and regulated and accept players from Texas.
We have researched and ranked all of the online gambling sites for Texas, should players choose to explore the gaming at online casinos and sportsbooks.
We rank these sites based on the quality of key criteria. First, we look to customer satisfaction with the site. Is it easy to navigate? Are wins paid promptly?
Next, we look to the state of the site’s internet security and how well funds and information are safeguarded. Is the security at the online casino cutting-edge and constantly monitored?
We are online gamblers, so we know that these are important factors in enjoying online play comfortably and with confidence.
Texas is an old territory with a proud heritage. Changes—to the law, to styles, to views—are often viewed with suspicion. “If it ain’t broke, don’t fix it,” seems to be the legislative approach to proposed changes in the law. However, there are some brave voices in the state that are working to legalize gambling.
Can You Gamble Online In Texas
Stay on top of evolving gambling news to know if changes are coming to Texas; it’s the best way to stay safe as you play.