Gambling Laws in Iowa

Iowa has a healthy gambling industry, with numerous casinos, racinos and sportsbooks operating in the state. However, online casino gambling is largely illegal except for sports betting, which was legalised in 2019.

What Types of Gambling Are Legal in Iowa?

Gambling is covered by the Iowa Code 99 (gambling houses) and Iowa Code 725.5 (gambling and betting). The state's approach is that all types are deemed illegal unless otherwise specified. Activities are regulated and overseen in the state by the Iowa Racing and Gaming Commission.

There are currently several licensed gambling venues and operators which include commercial and tribal casinos, racinos, sportsbooks and the Iowa Lottery.

Online and Offline Casino Games

Casino gambling is legal with the state being the first in the US to permit riverboat casinos in 1989. Laws changed in the 1990s and operators began to set up land-based venues. Today the casino gambling industry in Iowa consists of around 20 commercial establishments and four tribal casinos.

if you're looking to get access to online casino slots then this is deemed illegal by default due to the state's definition of gambling. Penalties for breaking the law for this can be steep, reaching a maximum of 10 years in prison.

Real Money Poker Games

Gambling on poker is legal, with many state-licensed casinos offering a variety of rooms. Charitable organisations are also permitted to operate games under certain circumstances.

Playing poker at any online live casino is illegal due to the state's definition of gambling.

Playing Bingo

Enjoying this popular game is legal but there are no standalone bingo halls in the state, as these are not permitted. Instead, residents can enjoy games at the tribal casinos or events run by charities.

Online bingo gambling is unregulated and deemed illegal without specific legislation. Iowans can still find plenty of bingo casinos online to play at, with prosecution for doing so very unlikely.

The Iowa State Lottery

Lottery gambling is legal with the Iowa Lottery operating since 1985. Residents can buy tickets for various draws, including the popular Powerball and Mega Millions. As well as scratch cards and pull-tab games.

While the state lottery provider has a website and even a mobile app, ticket sales are not permitted. It's also illegal for residents to approach even the biggest online casinos and play lotto.

Social Gambling and Playing at Crypto Casinos

Due to the state's legal stance on gambling, even social games for real money held within private residences are illegal. Lootboxes and skin gambling are yet to be regulated in Iowa.

Cryptocurrencies are recognised as having a monetary value, with even politicians permitted to accept donations in Bitcoin. However, virtual coins are not accepted as payment at any of the state's legal gambling venues. This pushes many residents to sign up and play at offshore crypto casinos, which they do so at their own risk.

Iowa Sports Betting Gambling Laws

All types of sports betting are legal with some 17 sportsbooks currently providing betting markets on a wide range of sports in the state. Sports betting is currently the only form of online gambling legal in Iowa. Daily fantasy sports is also legal, with top sites like DraftKings and FanDuel accepting residents of the state.

Parimutuel horse race betting is legal, with two racinos - Q Casino and Prairie Meadows - offering track-side and off-track betting, plus various casino games.

Minimum Age to Gamble in Iowa

This varies depending on the activity in question. Those aged 18+ can legally play bingo, lottery and daily fantasy sports, but residents must be at least 21 to play casino games and bet on sports.

Iowan Tax Regulations

Gambling tax regulations mean that all winnings are taxed on both a state and federal level. There is a 5% tax on gambling winnings at the state level, with a 24% tax withheld at the federal base.

History of Gambling Laws in Iowa

Gambling was banned in Iowa until the early 1970s when a priest was arrested for organising gambling games at a charity picnic event in North Buena Vista. Public outrage triggered a referendum in 1972, with the results overturning the ban and leading to the legalisation of charitable gambling activities and low-stakes games.

Betting on horse and greyhound races was legalised in 1983. The Iowa Lottery launched in 1985 and by 1989 gambling on riverboat casinos was legally permitted.

Compacts were negotiated with 3 of today's four native American tribes to operate casinos in 1992. Commercial casinos were allowed to establish themselves on land-based premises the following year.

Online sports betting was legalised in 2019 and a 4th tribal casino compact was agreed upon in 2020.

Key Facts

• Casino gambling is legal, but only within licensed commercial casinos, tribal casinos or racinos.

• Online casino gambling is illegal.

• Poker gambling is legal and available at most of the state's casinos.

• Online poker gambling is illegal.

• Bingo gambling is legal, but only at tribal casinos or charitable events.

• Online bingo gambling is illegal.

• Lottery gambling is legal via the Iowa Lottery, but online ticket sales are prohibited.

• Sports betting is legal in both offline and online forms.