Defeat of proposed increase in taxes on sports betting businesses in Ohio
Unleashing the Gambling Beast: The Struggle Over Ohio's Sports Betting TaxesBy: Michael Savio04/17/2025 02:50
The Tax Battle
Ohio is kicking up a storm in the sports betting world with a fresh proposal that threatens to double the operator tax rate. If passed, Senate Bill 199 would slap a 2% tax on the total sports betting handle, on top of the existing 20% tax on operator revenue. This move would leave Ohio and Tennessee as the only states imposing this double whammy on sports betting operators.
A Tale of Two Taxes
Remember the time Ohio doubled its tax rate back in 2023? Well, the proposed 2% handle tax isn't just a one-off. Combined with the current 20% tax on operator revenue, it's a heavy blow for the gambling industry. Moreover, Governor Mike DeWine's previous proposition to raise the tax rate to a staggering 40% was swiftly shot down by the legislature.
The State's Revenue Hunger
Proponents of the handle tax argue that the extra revenue will be channeled into youth sports and state stadium projects. However, industry heavyweights such as the Sports Betting Alliance are voicing concerns over the proposed tax hikes, fearing that suchburdensome taxation will push Ohio far beyond the national norm.
A question of balance
So, while the proposed 2% handle tax isn't an outright doubling of the operator tax rate, it does represent a significant increase in the overall tax impact on sports betting operators. And with some lawmakers and industry advocates rallying against further tax hikes, the future of Ohio's sports betting landscape hangs in the balance.
[1] [2] [3] [4] - For more insights and industry news, check out Michael Savio's articles on x.com/g00sefactory. His coverage spans online casino reviews and everything in between, making him a trusted insider in the gambling sphere.
- The new proposal in Ohio could potentially make it one of two states imposing a 2% handle tax along with an existing 20% tax on operator revenue in the online casino and sports betting industry.
- If approved, this double taxation would significantly increase the financial burden on sports betting operators, a situation analysts compare to a similar tax hike in Vegas-style casinos.
- Political debates are intensifying over the proposed tax hikes, with proponents justifying the move by citing revenues for youth sports and state stadium projects, while critics, including the Sports Betting Alliance, argue these high taxes could drive the industry away from Ohio and toward more favorable states.
- The future of sports betting in Ohio might hinge on finding a balance between supporting public ventures and maintaining a competitive tax environment for operators, as demonstrated in the broader economic landscape of general-news and politics across the nation.
