Maryland Scales Back Proposed Online Sports Betting Tax Hike
Maryland Adjusts Online Gambling Tax Rate Down to 20% Instead of Proposed 30%
In a surprising move, Maryland lawmakers have decided to lower the proposed tax increase for online sports betting, moving away from the 30% tax rate initially proposed by Governor Wes Moore in his budget plan.
Originally, the tax hike aimed to double Maryland's current 15% online betting tax to 30%, mirroring a similar measure in Ohio two years prior. However, lawmakers have now opted for a more conservative approach, proposing an increase of 5% to 20%.
This revised tax hike was discussed last week by the House of Delegates' Ways and Means Committee. The committee voted in favor of House Bill 352, an amended version of the initial proposal that includes this incremental tax increase. The additional revenue generated from this increase will contribute to Maryland's general fund.
This decision will not only save the online sports betting industry some costs but also provide a more balanced tax policy for the industry.
Casino Table Games Tax and Maryland Tax Cuts
In other news, Governor Moore's proposal to raise the tax on casino table games from 20% to 25% seems to have been dropped. This adjustment would have increased the financial burden on casino goers, but now, 94% of Maryland residents will either see a tax cut or remain unaffected.
Governor Moore has stated that the extra revenue generated will support local schools, law enforcement, and firefighters.
Maryland's Battle Against Sweepstakes Continues
The Maryland Lottery and Gaming Control Agency continues its efforts to regulate controversial sweepstakes operators in the state. The unregulated nature of sweepstakes and their recent growth have prompted increased scrutiny.
Despite a proposal to outlaw sweepstakes gaining traction earlier this month, the Maryland Lottery and Gaming Control Agency has already taken action. They have issued a cease-and-desist order to VGW, one of the largest social casino companies in the U.S., and published a list of all legal gaming services available in Maryland, along with a list of operators subject to cease-and-desist orders.
Stay tuned for updates on these evolving issues in Maryland's gaming landscape.
In the revised tax plan, the casino table games tax remains at 20%, avoiding an increase to 25%, which would have affected a majority of Maryland residents. contributes to a balanced approach in taxation for the online sports betting industry, with a proposed increase from 15% to 20%. Additionally, the Maryland Lottery and Gaming Control Agency continues its pursuit of regulating controversial sweepstakes operators, engaging in efforts to distinguish legal gaming services from unregulated entities.
