Is Gambling Legal In Israel?

Most gambling is illegal in Israel.

The Israeli Penal Law 5737-1977 broadly prohibits unauthorized games of chance, lotteries and betting, as well as organizing or operating places where prohibited gambling takes place.

There are, however, important legal exceptions. Israel permits lottery products through Mifal HaPais and sports betting through the Israel Sports Betting Board. There is also a narrow exemption for genuinely private social gambling.

So gambling is not completely illegal in Israel, but legal gambling is largely confined to state-authorized channels rather than a competitive private casino and betting market.

What Gambling Is Legal in Israel?

Gambling Type Legal Status How It Works
National lottery Legal through Mifal HaPais Operates under a Ministry of Finance permit
Sports betting Legal through the ISBB State-authorized monopoly operating the Winner service
Private casinos Prohibited No licensing system for ordinary commercial casinos
Private online casinos Prohibited General gambling prohibition also applies online
Online sports betting Legal through the ISBB The ISBB is permitted to offer sports betting online
Poker for money Generally prohibited outside narrow exemptions Existing gambling case law still matters despite a later Supreme Court observation about skill
Private social games Potentially exempt Only when strict social and entertainment conditions are met

Are Casinos Legal in Israel?

No. Israel does not have a licensing system for ordinary privately operated casinos.

You therefore will not find a legal commercial casino in Tel Aviv, Jerusalem or elsewhere in Israel offering games such as roulette, blackjack or slot machines in the way you would in Las Vegas or many European jurisdictions.

The underlying law does not merely prohibit certain casino games. It also targets organizing prohibited gambling and maintaining premises where it regularly takes place.

What Does Israeli Law Define as Gambling?

Chapter 12 of the Penal Law uses several related definitions.

A “prohibited game” is broadly a game where somebody can win money, something of value or another benefit and the outcome depends more on chance than on understanding or ability.

A lottery concerns the chance to win money, value or a benefit through the drawing of lots or another random mechanism.

Betting covers arrangements where money, value or another benefit can be won by predicting an event or outcome.

This structure matters because the law does not need to name every casino game individually. A new game can still fall within the prohibition if it meets the statutory definition.

Does Israeli Gambling Law Specifically Ban Roulette and Slots?

The more useful legal question is not whether every game appears on a list.

Roulette and ordinary casino slots clearly fit the broader concept of games where money can be won and chance predominates.

That is why creating a new casino game does not create a loophole simply because the Penal Law was written before that particular game existed.

Israel regulates gambling mainly by defining the underlying activity, not by maintaining a closed list of prohibited game names.

Is the Lottery Legal in Israel?

Yes. Mifal HaPais operates Israel’s national lottery under a permit issued pursuant to the Penal Law and supervised by the Ministry of Finance.

Its authorized products include lotteries, subscriptions, scratchcards and related lottery products.

This is an exception to the wider prohibition rather than evidence that private companies can obtain equivalent lottery licences.

Can Private Companies Apply for an Israeli Gambling Licence?

No, not for an ordinary casino or sportsbook.

Israel does not operate an open commercial licensing market where private casino companies can submit an application and compete for a licence.

The permitted market is built around the National Lottery and the Israel Sports Betting Board.

Private businesses can be involved in distributing authorized products in some circumstances, but that is very different from receiving an independent licence to operate their own casino or sportsbook.

Are Video Lottery Terminals Legal in Israel?

Mifal HaPais previously operated video lottery terminals, but the Ministry of Finance removed permission for those machines when the lottery permit was renewed in 2017.

Keno was also discontinued under that renewal.

This illustrates an important feature of Israeli gambling law: even the state-authorized lottery can only offer products covered by its permit.

Is Sports Betting Legal in Israel?

Yes, but through one authorized system.

The Israel Sports Betting Board was established under the Law for the Regulation of Sports Betting 5727-1967 and holds the exclusive right to organize authorized sports betting in Israel.

Its consumer betting service is commonly known as Winner.

Private bookmakers do not have an Israeli licensing route that allows them to compete with it.

Can You Bet on Sports Online in Israel?

Yes, through the Israel Sports Betting Board’s authorized online services.

This makes sports betting an important exception to Israel’s broader restrictions on online gambling.

The fact that authorized sports betting is available online does not mean private international sportsbooks are automatically legal in Israel.

Is Horse Racing Betting Legal in Israel?

Not through the current state sports-betting system.

The Ministry of Finance discontinued the Israel Sports Betting Board’s permission to offer horse-race wagering in 2018.

That is another example of why “sports betting is legal” does not mean every possible sport or betting product is automatically permitted.

Is Online Gambling Legal in Israel?

Generally, no, apart from specifically authorized services such as the ISBB’s online sports betting.

The Penal Law was written before modern internet casinos and does not create a separate detailed online-casino regime.

Israeli courts and public authorities have nevertheless treated the general gambling prohibitions as applying to gambling offered over the internet.

This means there is no Israeli licensing system for private online casinos.

Is It Legal for an Offshore Casino to Accept Israeli Players?

Israeli law does not create an exception simply because the operator’s servers or company are located overseas.

Israeli legal analysis and court decisions have treated foreign gambling services directed at people in Israel as falling within the country’s gambling prohibition.

The practical enforcement focus has often been on operators, payment infrastructure and access rather than individual casual players, but that is not the same thing as offshore gambling becoming legal.

Can Israel Block Offshore Gambling Websites?

Yes, Israeli authorities now have mechanisms that can be used to restrict access to illegal gambling websites.

There was an important earlier dispute over whether police themselves had authority to order internet service providers to block gambling domains. The Supreme Court held in 2013 that the particular police power being relied upon did not authorize those blocking orders.

That decision did not declare online gambling legal. It concerned who had the legal authority to order internet blocking.

Later legislation created procedures through which courts can order restrictions against websites used for unlawful activity, including gambling.

Is Online Poker Legal in Israel?

Generally, no.

Israeli case law has historically treated poker as a prohibited game under the Penal Law.

There is an interesting complication, however.

In a 2018 Supreme Court tax case involving a professional poker player, the majority expressed the view that poker, particularly when played professionally over long periods, may not properly be characterized as predominantly a game of chance.

But that observation was not necessary to decide the criminal legality of poker and was made in obiter dictum.

It therefore did not create a binding precedent legalizing poker.

The Supreme Court raised a serious question about poker’s classification, but it did not turn real-money poker into a generally legal activity in Israel.

Is Poker a Game of Skill Under Israeli Law?

The answer depends on what legal question is being asked.

The 2018 Supreme Court decision recognized that repeated professional poker performance can involve substantial skill and criticized some of the reasoning used in older cases.

But the existing gambling framework has not subsequently been replaced by a general licensed poker market.

So it would be misleading to say either “Israel’s Supreme Court legalized poker” or simply “Israeli law says poker is purely chance.”

Can You Gamble Privately With Friends in Israel?

Sometimes. Section 230 of the Penal Law contains a narrow exemption for social gambling, but several conditions have to be satisfied.

The activity must be restricted to a particular circle of people, remain within the scope of amusement or entertainment, and not take place in a venue used for prohibited gambling, lotteries or betting.

Israeli courts interpret this exemption narrowly.

Does That Make a Home Poker Game Legal?

Potentially, but “it happens in somebody’s house” is not enough by itself.

A private game between an existing group of friends played for entertainment is very different from somebody regularly organizing games, advertising seats to strangers, charging entry fees or taking a percentage of pots.

The more the arrangement begins to resemble a commercial gambling business, the harder it becomes to rely on the social-gambling exemption.

There is no simple statutory dollar limit that automatically separates a legal social game from an illegal one.

Can You Run a Private Casino From Your Home?

No. The social exception is not a loophole for creating an unlicensed casino.

Operating regular gambling for commercial purposes, opening participation to the public or maintaining premises for prohibited games can bring the activity back within the Penal Law’s criminal provisions.

What Is the Punishment for Illegal Gambling in Israel?

The penalty depends on what the person is doing.

Offence Potential Penalty
Organizing or conducting a prohibited game, lottery or betting operation Up to 3 years’ imprisonment or a fine of up to ILS 452,000
Playing a prohibited game Up to 1 year’s imprisonment or a fine of up to ILS 29,200
Maintaining premises regularly used for prohibited gambling Up to 3 years’ imprisonment or a fine of up to ILS 452,000

These are maximum statutory penalties. They should not be read as a prediction that every individual participant will receive that sentence.

Can Minors Gamble Legally in Israel?

No. Authorized lottery and sports-betting products cannot lawfully be sold to people under 18.

The law also creates specific offences around offering or distributing lottery or betting participation to minors.

Who Regulates Gambling in Israel?

Israel does not have one casino regulator comparable with gambling commissions in jurisdictions that license many competing private operators.

Instead, control is divided according to the permitted activity.

The Ministry of Finance has authority over the permit for Mifal HaPais. The Israel Sports Betting Board operates under its own statutory framework, with relevant government oversight.

The police, courts and other state authorities enforce the wider criminal prohibitions.

Does the Minister of Finance Issue Casino Licences?

No general casino licence is available.

The Ministry of Finance has statutory powers relating to the permitted National Lottery framework, but this should not be confused with an open application system for private gambling operators.

If an international casino company wanted to open a conventional casino in Tel Aviv, there is currently no ordinary licensing route for it to follow.

Are Binary Options Gambling in Israel?

Not under the Penal Law’s normal gambling classification.

A Tel Aviv District Court ruled in 2016 that binary options did not constitute a prohibited gambling game under that law.

But that did not leave binary options unregulated.

Israeli securities regulation moved in the opposite direction. Licensed Israeli trading platforms were prohibited from offering binary options to Israeli retail clients, and legislation adopted in 2017 imposed much broader restrictions on Israeli involvement in the binary-options industry.

The Israeli Securities Authority described the products as having gambling-like characteristics, but the legal mechanism used to restrict them was securities law rather than the ordinary casino-gambling prohibition.

This is why binary options should not simply be listed as a legal form of gambling. Our guide to financial betting covers the broader distinction between financial speculation and conventional gambling.

Why Are Lotteries and Sports Betting Legal if Other Gambling Is Banned?

Because the law creates specific authorized exceptions.

This is an important structural feature of Israel’s system.

The lottery and sports-betting operations are not legal because lotteries or sports predictions fall outside the definition of gambling. They are legal because the state has specifically authorized particular organizations to provide them.

A private company offering the same basic product does not automatically receive the same legal treatment.

Is Gambling Legal in Tel Aviv?

The national gambling laws apply in Tel Aviv just as they do elsewhere in Israel.

There is no legal commercial casino in the city.

Residents can use the permitted national lottery and authorized sports-betting services, while the same restrictions on private casino gambling and unauthorized online gambling remain in force.

Is Gambling Legal in Jerusalem?

The same national framework applies.

Jerusalem does not have a separate licensing regime that permits conventional commercial casinos.

Does Israel Tax Gambling Winnings?

Tax treatment is separate from whether a gambling activity is legally permitted.

The fact that income can be taxable does not make the activity itself legal.

This distinction was particularly visible in the Supreme Court’s 2018 professional-poker case, which concerned how poker income should be classified for tax purposes rather than creating a general right to operate or participate in poker games inside Israel.

What Gambling Can You Legally Do in Israel?

The simplest way to understand the current system is to follow authorization rather than the type of game alone.

You can participate in lottery products offered under Mifal HaPais’s authorized framework and sports betting offered through the Israel Sports Betting Board. Narrow private social gambling can also fall outside the general prohibition when the statutory conditions are met.

There is no comparable licensing route for ordinary private casinos, commercial poker rooms, offshore sportsbooks or online casino operators.

Israel does not operate a broadly regulated gambling market. It starts from prohibition and then creates specific exceptions for particular authorized activities.

Gavin Lucas – iGaming Industry Analyst and Chief Editor, GamblersPro.com
Gavin analyzes online gambling regulation, licensing systems, and market structure across international jurisdictions. With over a decade of experience covering the iGaming sector, his research focuses on how national gambling laws, regulatory authorities, and compliance frameworks shape legal online casino markets. This guide was prepared using primary regulatory sources and official publications from European gambling authorities.