Concerned Australians and small businesses owners around the country are trying to prevent the offshore gambling empire dominating the market, to prevent them from attacking small business and to ensure revenue made from gambling goes back into the community and not overseas.

Member for Port Macquarie, Leslie Williams is urging local residents to think carefully before investing their money in the online lottery service.

Lottoland is run by a betting company based in Gibraltar and operates under a Northern Territory bookmaker’s licence, with at least one state in Australia already banning the company.

Lottoland does not actually conduct a lottery, nor does it supply any lottery tickets, rather, gamblers bets on the outcome of lotteries conducted by third parties.

Therefore while it may appear you are playing lotto, you are instead placing a gambling bet on a lottery result said Mrs Williams.

“The impact of Lottoland on existing newsagencies like those in Port Macquarie, the Camden Haven and in the Manning Valley is of growing concern and I am calling on the Commonwealth Government to crackdown on off shore operators like Lottoland,” Mrs Williams said.

“This is a direct threat to small business operators that provide a genuine service and pay taxes.

“We should be doing all we can to protect small business, not allowing online, unregulated companies operating a ‘fake’ lottery,” she said.

In the financial year of 2015/16, the return to NSW on taxes paid on lotteries was $361 million.

“Across Australia it is estimated that lotteries delivers $1.6 billion in taxes to state and territory governments,” she said.

“If you believe the advertising commercials, Lottoland looks like a normal lottery when in fact it is far from it. People need to be aware that their money is going overseas with no real benefit for our community.”

Local business manager Peter Tompsett from Blair’s Newsagency in Port Macquarie said that although business is still strong, the principal of the matter is the hardest to swallow.

“When you gamble with Lottoland its all online so you do not get a physical ticket,” Mr Tompsett said.

“In lotto you know your punt, and potential outcome, with funds going back into the community to help the local economy and local businesses, but with Lottoland all the money goes to one man in Gibraltar,” he said.

“In our business we have to comply with so much accreditation and complete so much training, but with Lottoland how would anyone know what they do.”

Unlike businesses operating in Australia, Lottoland pay no taxes and does not contribute to the building of schools, hospitals or roads throughout the country.

“The Commonwealth Government needs to make amendments to the Interactive Gambling Act 2001 to prohibit ‘synthetic’ lotteries like Lottoland from operating in Australia,” Mrs Williams said.

On the Lottoland website they say the comply with all Australian laws.

“In respect to gambling taxes, currently, the existing tax structure does not address Lottoland’s business model in an appropriate manner. We are wanting to comply fully with all legislation and are working extremely hard with the Northern Territory government to amend legislation in order to enable us to pay the relevant taxes.”

But Mrs Williams says that this is not the problem.

“What they are doing is legal, but it shouldn’t be.”