New York's 51% Mobile Betting Tax Up For Discussion, Senator Says
The 51% tax on New York sports betting revenue will remain in place at least until next year but is open for discussion, a state senator says.
State Sen. Joseph P. Addabbo Jr., D-Queens, said he will look at putting together a roundtable or committee to examine the tax rate heading into next year’s legislative session and budget process. Addabbo chairs the Senate Racing, Gaming and Wagering Committee.
“It is definitely a conversation to have,” he told Gambling.com on Friday.
The 2022 legislative session ended this week without any change in the tax rate. The 51% rate is the highest in the nation, along with New Hampshire’s.
$1,000 No Sweat First Bet
Tax Conversation ‘Premature’
Some in the gaming industry expressed hope months ago that the Legislature would reduce the tax rate this year. The legislative session began Jan. 5.
Addabbo arrived back in his Queens office early Friday from the Capitol in Albany after the session ended.
During the session, legislation was put forth that would have reduced the tax rate while allowing additional online bookmakers to operate in the state. That effort was unsuccessful.
Further conversations about the tax rate will happen but are premature right now, Addabbo said.
The nine mobile bookmakers approved to operate in the state knew what the tax rate would be when they signed on, the senator said. The state was “always upfront” about taxation, he added.
Addabbo said he wants to get past the baseball and football seasons this fall “to see where we are” regarding the current 51% tax rate.
2nd Chance Free Bet up to $100
Promo Code: GAMBLING
‘Miraculous’ Sports Betting Results
To date, mobile sports betting has gotten off to a “miraculous start” in New York since the Jan. 8 launch, Addabbo said.
The eight authorized mobile bookmakers operating statewide have generated more than $270.5 million in tax revenue through May 29. One authorized bookmaker, BallyBet New York, has not begun operating but expects to launch soon.
Gov. Kathy Hochul, a Democrat, recently touted the revenue raised from mobile sports betting for state programs. Sports betting also occurs at upstate commercial casinos, but the vast majority of wagering occurs on mobile apps.
The governor said she is committed to “upholding responsible and effective gaming policies that will move the industry forward and continue to drive our state’s economic growth.”
“In less than half a year, New York has become a leader among states in implementing successful gaming policies, with hundreds of millions of dollars going to important programs that will improve the lives of all New Yorkers,” she said in a statement this week.
Check Out BetMGM Here Using Code GAMBLINGNY
New York Largest Sports Betting State
With more than 19.5 million residents, New York is the nation’s fourth most-populous state and the largest with legal sports betting.
Sports betting is illegal in the two most populous states, California and Texas. It is legal but not live in Florida, the state with the third largest population.
Last year, the Seminole Tribe of Florida launched a Hard Rock mobile wagering app, but it was discontinued in a legal dispute and has not been reinstated.
In California, statewide initiatives to allow sports betting are expected to be on the November ballot.
Source: Read Full Article