Pennsylvania’s Tax on Sports Betting Set to Be the Highest - News % : News
  • 2 minutes read
Published on
Update on

When sports betting finally debuts in the Keystone state’s casinos, it is anticipated that it will have the highest sports betting tax rate in the United States. There has been a lot of debate about how this could affect the budding industry, especially because prior to the lifting of the ban on sports betting, a number of gambling operators were operating tax-free. Concerns have been raised regarding how these rather high taxes could affect the development of sports betting.

However, there is a high likelihood that when sports betting finally reaches Pennsylvanian casinos, the high tax rates will not be much of a deterring factor for them. The state will have the highest tax rates -that much is true – but the returns of sports betting are too lucrative for some of the casino operators to let slide by.

“It’s not even close,” Prof. Chuck Berry, who teaches sports entertainment at Point Park University commented about the yet to be confirmed tax rates. “Most of the states are somewhere between 10 and 20 percent. Nevada is around 7 percent. And we’re going to be at 34 percent plus an extra 2 percent, 36 percent, and that doesn’t include the federal excise tax as well.”

A number of gaming companies have raised complaints about Pennsylvania’s 36 percent tax which is certainly much higher than the 10 percent tax that West Virginia is set to implement. Regardless, Pennsylvanian regulators do not seem shaken by this. Reason being, the underground sports betting industry is already worth approximately $150 million which can only grow further through the legalization of the activity.

“They’re going to complain about it, but at the end of the day, they have a choice,” said PA Senator Jay Costa, the Democratic Senate Leader. “They can decide not to participate in this type of gaming. They are going to be 9 or 10 or 11 other entities that would participate here.”

There is, of course, a lot of time left for various stakeholders to deliberately discuss the terms. In fact, a win-win scenario might arise eventually since the state’s gambling regulator is set on implementing sports betting in the best way possible.

Latest Headlines

PA Court Allows Seizure of Skill Game Machines

The Pennsylvania State Police can now resume their seizure of skill games from Pace-O-Matic. There has been plenty of controversy over the games, as a ruling deemed the games illegal. This ordeal began in November, when a court ruling determined that skill games from Pace-O-Matic and other operators could not legally operate in the state. […]

New York, Nebraska and Kentucky Introduce Poker Bills

2020 seems like it is going to be a great year for poker across the United States. We’re not even a month into the year yet, and three states have introduced laws that aim to legalize the game along with other gambling activities. First, there was Nebraska. Lawmakers in the state decided to introduce a […]

Parx Casino Teams Up With Everi Interactive in Exclusive Content Deal

Online casinos across Pennsylvania are working hard to offer their players exciting gaming experiences, and what better way to do that than with a great selection of games? Parx Casino wants its players to have access to a wide range of slots, so the operator has recently entered into an exclusive content deal with Everi […]

Lucky Player Hits Huge Jackpot at PA Online Casino

One lucky player in Pennsylvania welcomed in the new year in a truly exciting way, landing a huge jackpot worth nearly $300,000 at The player, who has requested that they remain anonymous, won the jackpot while playing a NetEnt slot called Divine Fortune. On December 28, the player had decided to give a few […]

Pennsylvania Gaming Board Names Casino Players Who Have Been Involuntarily Excluded

The Pennsylvania Gaming Control Board has published its list of players who have been publicly excluded from casinos. The list was started in 2010, and now has the names of 809 players from across the state who have excluded from gambling venues across the state for casino-related offenses. “The list consists of career or professional […]

Similar PA Casinos Post

Parx Casino Inks Multi-Year Deal with Philadelphia 76ers

The gaming industry in the United States continues to grow at a very fast pace and so do the partnerships between various stakeholders. For instance, a number of sports teams and leagues are signing deals with gambling-related entities as part of their efforts to build their brands and bring in revenue. The latest partnership deal […]

Kindred Debuts Unibet-Branded Sportsbook in Pennsylvania

Last Friday, Nordic online gambling operator Kindred Group followed up its New Jersey debut by launching its second sportsbook in the Keystone State. The company’s Unibet branded sportsbook officially went live in Pennsylvania through a multi-year partnership with Mohegan Sun Pocono which is owned and operated by Mohegan Gaming & Entertainment, Mohegan Tribe’s casino resort […]

FanDuel Boosts Pa. Sports Betting Revenue in August

In August 2019, sports bettor in Pennsylvania placed a whopping $109 million in sports bets, an 84 percent increase from the amount that was wagered in July. According to the revenue report that was released by the Pennsylvania Gaming Control Board (PGCB) the online gambling sector was the biggest contributor to the revenue. In total, […]

Legal Sports Betting Finally Takes Off in Indiana

Indiana has officially become the 12th US state to legalize sports betting after three of the state’s casinos were inaugurated on September 1 just in time for the forthcoming NFL season. Of the three casinos that debuted their sports betting offerings, one of them was privileged to have been inaugurated by Governor Eric Holcomb who […]