Gambling flourished as miners flocked to California, with card games and saloons becoming staples. However, restrictive laws soon followed to curb gambling activities.
1933 Legalization of Horse Racing
California passed legislation to legalize pari-mutuel betting on horse races, establishing a foundation for regulated gambling.
1984 Creation of the Lottery
Voters approved the California State Lottery to fund public education, marking the legalization of lottery games.
1987 Tribal Casino Milestone
The US Supreme Court ruling in California v. Cabazon Band of Mission Indians upheld Native American tribes’ rights to operate casinos, setting a significant precedent for tribal gaming.
1998 Proposition 5
Voters approved an initiative allowing tribal casinos to offer slot machines and card games. Though initially challenged in court, subsequent measures solidified tribal gaming rights.
2000 Proposition 1A
California amended its constitution to enable tribal-state compacts, legalizing specific casino games on tribal lands.
Rise of Cardrooms
California’s legal cardrooms operate under strict state regulations and focus on non-house-banked games, avoiding games like blackjack.
Sports Betting Efforts (Post-2018)
After the Supreme Court lifted the federal ban on sports betting, California debated legalization. However, initiatives to regulate sports betting did not pass in 2022.
Online Gambling Status
While online casinos remain illegal, Californians access offshore sites. Poker faced brief attempts at regulation but remains unregulated within the state.
Types of Online Gambling
Gambling Types
Status
Legal Gambling Age
Online casinos
Only offshore casinos are available
21+
Social Casinos
Available
18
Sweepstakes Casino
Available
18
Betting on sports
No
21+
Online lottery
No
21+
Online Poker
No
21+
Daily Fantasy Sports
Yes
18
Online horse racing
Yes
18
Offshore Online Gambling in California: Risks & Rewards
Pros
Game Diversity: Broad selection of games.
Access: Play where local online options lack.
Bonuses: Attractive promotional offers.
Crypto-friendly: Some accept digital currencies.
Cons
Legal Ambiguity: It's a gray legal area.
Fewer Protections: No U.S. regulation for disputes.
Payment Issues: Risks of withheld winnings.
Security Concerns: Potential for less robust site security.
Retail Casinos and Card Rooms
There are 66 tribal casinos and 89 card rooms in California. Herewith the biggest retail casinos in the Golden State:
Yaamava Resort and Casino
The Yaamava Casino became the biggest land casino with its reopening in 2021. Occupying 290,000 square feet it has 7,000 slot machines, VIP poker rooms, and 150+ table games.
The San Manuel Band of Mission Indians owns and operates the casinos.
Pechanga Resort and Casino
The Pechanga Resort and Casino has been in operation since 2002. It occupies an area of 200,000 square feet. It’s five times the size of the MGM Grand in Las Vegas.
The casino resort has more than 7,000 slot games and 200+ table games.
Morongo Casino Resort and Spa
Like the above casinos, the Morongo Casino is one of the biggest tribal casinos in the USA. It occupies a land area of 150,000 square feet. It hosts more than 4,000 slot machines, poker games, blackjack, roulette, and Pai Gow Poker.
The casino in California opened its doors for business in 2004 and belongs to the Morongo Band of Mission Indians.
Is Online Poker Legal in California?
Online poker has not been legalized or regulated by the state of California. There have been numerous legislative attempts to authorize and regulate online poker, but none have successfully become law.
Many of the state’s tribal casinos and other stakeholders have had differing views on the topic.
Nonetheless, state-regulated online poker rooms do not exist, many Californians play on offshore poker sites.
They operate outside of the US and cater to players from various states. However, they can be risky as they operate outside the state’s regulatory framework.
Typical Bonuses
Bonus Type
Explanation
How to Use
Welcome Bonus
Offered to new players on their first deposit
Register and make an initial deposit.
No Deposit Bonus
Free bonus without the need to deposit money.
Sign up and claim the bonus in your account.
Free Spins
Awards free spins on specific slot games.
Use a bonus code if necessary.
Reload Bonus
Bonus for subsequent deposits.
Deposit again and claim the bonus.
Cashback Bonus
Returns a percentage of losses over a period.
Play games, and if losses occur, you’ll get cash back.
Loyalty Points
Earn points for playing games which you can redeem.
When you gamble online there are pitfalls. Check if the casino has a license in Curacao or Panama.
Reviews and player feedback help a lot. Be wary of too-good-to-be-true bonuses since they can be traps.
Pay attention to their payment methods. Legitimate casinos offer popular and trusted payment options.
Games That Offer the Best Odds
To maximize your returns, know the house edge of the games. The house edge represents the casino’s statistical advantage over the player.
While luck plays a role, games with a lower house edge can increase your chances of winning. Choosing games where strategy and skill come into play can swing the odds your way.
Game
House Edge
Blackjack
0.5% – 2%
Craps (Pass/Come bets)
1.4%
European Roulette
2.7%
Baccarat (Banker bet)
1.06%
Video Poker (Jacks or Better)
0.46%
Slots
2% – 10%
Pai Gow Poker
1.5%
Three Card Poker
1.5%
Caribbean Stud Poker
5.2%
Keno
20% – 40%
Security California Online Casinos
A legitimate online casino uses 128-bit or 256-bit SSL (Secure Socket Layer). That protects the personal and financial data of Californian players.
Look for the small padlock icon in the address bar. That tells you that it’s a secure online casino.
Reading reviews and player feedback tells you whether the site is safe or not.
Independent companies such as TST or iGaming Labs must test the RNGs of their games. Most sites display the logos on their webpages. When you play their games to win money, you’ll get a good shake.
No Deposit Bonus?
Whether you’ll get a no-deposit bonus depends on the casino. Some offer it, some don’t. If you’re in California and interested in a free chip, it’s best to check the casino’s promotions.
You can ask them for a small no-deposit bonus to test their games. In our experience, most sites will happily give you an extra free chip just for pitching.
We also caution you that the no-deposit bonus comes with top-heavy terms.
Best Payout Casino in California?
The best payout casino in California is Wild Casino. With a small budget of $50, we played the “Rags to Witches slot,” and won $250. A few hours later the money was in our Bitcoin wallet.
What sets them apart? They pay fast and their KYC process for withdrawals concludes within 24 hours. High rollers, can cash out up to $100,000 using 15 different cryptos.
Tax When You Win Money Gambling
Winning big is exciting, but don’t forget that Uncle Sam—and in some cases, your state—wants a share. Here’s a breakdown of what happens when you win money gambling:
Federal Taxes
The IRS considers gambling winnings taxable income. If you win more than $5,000, the casino will withhold 24% for federal taxes. Even if they don’t withhold taxes, you must report all gambling income on your federal tax return.
Your total income determines your exact tax rate.
California State Taxes
California taxes gambling winnings at rates ranging from 1% to 13.3%, depending on your income. This includes all types of gambling, even online casinos like Wild Casino.
The only exception is state lottery winnings from tickets purchased in California—they’re exempt from state taxes. However, federal taxes still apply.
What Happened with a Recent Winner
One of our players won $10,000 at Wild Casino and asked if she needed to pay taxes. Here’s what happened:
Wild Casino sent her a W-2G form with details of her win.
She reported the $10,000 on her federal and California state tax returns.
The form made it easy to report everything accurately and comply with tax requirements.
Remember: Always report your gambling winnings to avoid issues with the IRS or state authorities. Use the forms provided by casinos to ensure accurate filing!
Watch Out for These Sites
Before you play casino games for real money check the site’s reputation. The CasinoWhizz team warns you against the following casinos.
We played at them a few years ago and had a less-than-stellar experience. As is our custom before any site goes onto our site, we do our due diligence about them first. We’d rather take the knock than you.
The sad part is that these sites are still in operation today. Wild Vegas Casino: We dropped $200 into slots here, and after some wins, we were eager to cash out.
Guess what? Our withdrawal request stayed “pending” forever. No response, no money. Note that the site has no affiliation whatsoever with Wild Casino.
PrimeSlots Casino: Played blackjack and won about $500. Tried to withdraw, and they put us through document hell. Sent in all they asked for, but the money never came. A total waste of time.
Silver Oak Casino: Thought we’d change it up with roulette. After winning $300, they claimed we violated some hidden rules and confiscated our winnings. It’s like they’re making it up as they go.
Responsible Gambling
If you or someone you know is struggling with gambling-related issues, seek help right away.
The Golden State has not legalized online casinos, but players can access offshore sites like Wild Casino. They operate outside US jurisdiction, offering real-money gambling options.
While convenient, using offshore casinos comes with risks, such as limited legal protection. Current California legislation focuses on legalizing sports betting, leaving online casino regulation on hold.
Until laws change, players must weigh the benefits and risks of offshore sites while staying informed about tax obligations.
FAQ About California Online Casinos
Who Regulates online casino gambling in the state of California?
Then there’s the California Horse Racing Board oversees pari-mutuel betting on horse racing. Finally, the California Lottery Commission is responsible for the state’s lottery.
Are there any retail casinos in California?
California has 76 retail casinos and 5 mini-casinos that run 72 card rooms with licenses. The Yaamava Casino Resort is the largest tribal casino in California. The other two are Pechanga Casino and Morongo Casino and Spa.
What's the minimum age to gamble online in California
To play casino games for real money at offshore online casinos 21 is the minimum age.
Must I pay taxes if I win money at a California casino?
Yes, the IRS demands that you pay tax on all your gambling wins throughout the year. Furthermore, the IRS allows you to deduct your gambling losses from your winnings.
Can I use a VPN to gamble online in California?
Yes, you can but I wouldn’t recommend it. Real money legal online casinos in California will know if you use a VPN and block you. However, some offshore casinos allow you to use a VPN.
Otto Bergstrom is a veteran in the world of casinos and gambling with 20 years of extensive experience. Writing for Casino Whizz, he shares his deep understanding of game strategies and the latest casino trends.