Is Online Lottery Gambling Legal?

online lottery

Online lottery games are a popular option for players of all ages. They’re easy to play, and you can get winnings paid into your bank account instantly.

However, there are a few things to keep in mind before playing the lottery online. You should be aware of the legality, the payment options, and the taxation of the game.


Whether or not an online lottery is legal depends on a number of factors. The laws vary widely from country to country, and some countries outlaw online sales altogether.

For instance, in the United States, it is illegal to buy lottery tickets from international lotteries. This is because many of these sites are deemed unreliable and may be involved in fraud.

In addition, the United States’ Wire Act prohibits gambling-related electronic transactions, and selling lottery tickets online violates this law. However, in 2011, the Justice Department issued an opinion that the Wire Act only applied to sports betting and paved the way for individual states to offer online lottery sales.

Currently, seven US states allow players to purchase lottery tickets online. These include Illinois, Georgia, and Florida. Several more states are considering allowing online lottery games. These states are primarily concerned with revenue generation and security issues related to selling lottery tickets over the internet.

Games offered

Most online lottery sites offer a variety of games, including the popular Lotto. Some also offer a few more exotic offerings like live casino and instant win games. These games are a bit more complicated than the usual lotto game. For instance, you will need to provide a valid email address and a credit card. You can play the games on your computer or mobile device.

The most impressive offering is the state of New Hampshire’s nifty iLottery, which boasts a number of impressive features and boasts some serious jackpots to boot. Some of these games are a bit trickier to play, but they are well worth the effort. The most exciting part of this offering is that it uses a patented technology to display the winning numbers, which was previously only available at lottery ticket windows in brick and mortar stores. The most interesting part is that you can even play these games on the go using your Android phone.

Payment options

Online lottery sites accept a range of payment methods to make it easy for players to fund their accounts. These include Visa and MasterCard debit cards, as well as e-wallets such as PayPal.

Bank transfers are one of the most secure and trusted ways to deposit money at an online lottery site. However, they are a bit more complex and may take several days to process.

A safer option is a prepaid/virtual card, which acts like a credit or debit card but doesn’t attach to your bank account. This method allows you to avoid sharing your bank details with different lottery sites.

There are also several international e-wallets, such as ecoPayz and MuchBetter, which can be used to pay for online lotto tickets. These e-wallets are popular among lottery winners and offer reasonable limits, fast deposits and withdrawals, and no fees.


Lottery winnings are treated as ordinary income, which means you pay taxes on them at a rate that depends on your tax bracket. The higher your tax bracket, the more you owe in taxes.

Winnings above $5,000 are subject to 24% federal withholding tax, which can add up to a big amount if your winnings increase your tax bracket. But you might owe less than the mandatory withholding if your winnings don’t boost your tax bracket.

If you win a huge jackpot, it’s worth chatting with a tax professional about how to manage your winnings to minimize your taxes. A tax expert will be able to advise you on which payment option is best for your situation and which deductions you could take to save money on your federal and state taxes.