Westmoreland Review

Chief Deputy Whip Guy Reschenthaler and Representative Dina Titus have reintroduced a bipartisan bill aimed at repealing the excise tax on legal sports bets. The Discriminatory Gaming Tax Repeal Act of 2025 seeks to eliminate the 0.25% "handle tax" applied to all legal sports wagers.

Reschenthaler highlighted the impact of the U.S. gaming industry, noting its contribution of over one million jobs and more than $70 billion in revenue for state and local governments. He argued that current tax codes unfairly penalize legal operators while incentivizing illegal activities. "The Discriminatory Gaming Tax Repeal Act of 2025 will ensure the gaming industry can support good-paying jobs and promote economic growth," he stated.

Titus emphasized that the existing tax disadvantages legal gaming operators by providing an edge to illegal sportsbooks, which do not pay these taxes. She recalled questioning the IRS about where handle tax revenues were allocated within the federal budget, only to find they did not have an answer. Titus argued, "It makes no sense to give the illegal market an edge over legal sports books with a tax the federal government does not even track."

Pennsylvania is noted as a leading state in gaming revenue, generating $5.86 billion in 2023 and collecting $2.3 billion in direct gaming taxes, marking it as the highest in the nation.

The Congressional Gaming Caucus, co-chaired by Reschenthaler and Titus, includes over 20 members from various states and focuses on discussing federal policy issues related to gaming.

This legislation was also introduced during previous congressional sessions.