Senate GOP Tax Bill Expected to Raise $1.1B from Gamblers, Limit Loss Deductions

A $1.1 billion tax provision in the Senate GOP's version of President Donald Trump's multitrillion-dollar tax bill is drawing significant backlash from both professional and amateur gamblers. Authored by Republican Senator Mike Crapo, the bill limits gambling loss deductions to 90% of winnings, a reduction from the full deduction allowed under current law, potentially leading to taxes owed even in years when gamblers break even or incur slight losses. This change has raised concerns among gamblers and accountants alike, with experts warning it could substantially reduce profits and alter betting behavior, especially among high-frequency and amateur players. The provision, part of a roughly 900-page bill, has sparked opposition from lawmakers such as Rep. Dina Titus of Nevada, who is pushing for a fix, highlighting the growing political and public resistance. Despite the tax hike worries among bettors, the bill also extends corporate tax breaks related to interest, research and development, and expensing, which could benefit gaming companies like DraftKings and FanDuel. The bill is currently held up in the House as dissenters gather, with its final form and impact on the gaming industry yet to be determined.