Clicky

Pennsylvania’s Tax on Sports Betting Set to Be the Highest - PennsylvaniaPoker.com News : PennsylvaniaPoker.com News
sports-betting
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

Pennsylvania iGaming Revenues Hit $100M, Poker Remains Slow

Pennsylvania’s iGaming revenue hits $100 million in July as poker continues to bring up the rear Slots and table games led the way, with Hollywood Penn National and Rivers Philadelphia accounting for 67% of the total revenue PokerStars PA drew the biggest share of poker action, although WSOP PA has now wrapped its first bracelet […]

WSOP PA Announces $50K Depositor’s Freeroll

Following WSOP’s successful soft launch in Pennsylvania, the platform is launching its first promotions Players will be able to gain entry into the World Series $10,000 Main Event in Las Vegas if they place first or second in the upcoming $50K Depositor’s Freeroll A third ticket will be awarded randomly to one lucky player who […]

WSOP’s Launch is on the Cards for Pennsylvania

WSOP may finally be arriving in Pennsylvania, but will that change the current balance of powers PokerStars PA remains the dominant card room in the Keystone State for months now Borgata/BetMGM’s entry was modest, and revenue continues to remain low as the network targets new players The Keystone State may have a third poker operator […]

PA Online Casinos and Poker Rooms Dominate Sports Betting

Casinos and poker have posted the strongest gaming results in May, with a cumulative $110 million in gross revenue  Sports betting continues to slow down as the Super Bowl and March Madness season are over Gaming remains the biggest driver of revenue for regulated gambling markets  Pennsylvania’s online casino results continue to dwarf sports betting […]

DoJ Names Billy Joe Taylor as Defendant in $88M Medicare Fraud Scheme

Up-and-coming poker personality Billy Joe Taylor was indicted on fraud charges alleging that he defrauded Medicare of $88 million The alleged fraud happened through Taylor’s testing laboratories which DOJ suspects abused COVID-19 relief funds and other government incentives Investigators have brought a total of 14 defendants on charges of defrauding Medicare, but Taylor’s alleged involvement […]

Similar PA Casinos Post

Pennsylvania iGaming Revenues Hit $100M, Poker Remains Slow

Pennsylvania’s iGaming revenue hits $100 million in July as poker continues to bring up the rear Slots and table games led the way, with Hollywood Penn National and Rivers Philadelphia accounting for 67% of the total revenue PokerStars PA drew the biggest share of poker action, although WSOP PA has now wrapped its first bracelet […]

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, […]