Ohio Sports Betting Tax Cut Bill Introduced as Other States Consider Increases

Ohio approved a 2023 boost on its sports betting tax. A minimum of one lawmaker desires to return it to its initial rate.


State Sen. Niraj Antani, the lead sponsor of the 2021 legislation that legislated Ohio sports wagering, introduced a costs previously today that would cut the tax rate from 20% of operator gross video gaming profits to 10%. Filed in his final days before leaving office, Antani wrote in testament supporting the tax decrease that the existing rate makes it "substantially hard" for lots of smaller operators to be "financially practical."


"10 percent was an affordable tax rate that put us in the middle of the pack," Antani wrote in a letter to the state Senate's finance committee. "While I 'd love for us to be at the 6.75% rate to connect the most affordable in the nation, going back to 10% is affordable."


Ohio sports betting


Ohio's 2021 sports betting legalization costs consisted of one of the most extensive licensing caps in the nation. More than two-dozen operators expressed interest in the market, the country's seventh-largest by population.


As part of the state's newest budget, Gov. Mike DeWine pressed to double the rate. The 10% rate was near the mean average; the 20% puts Ohio at the sixth-highest mark of the 39 states that have approved legal sports wagering.


The 10% tax rate was also a fundamental component that motivated operators to enter the market stated John Pappas, state advocacy director for video gaming industry support system iDEA, in an email to Covers.


These services made substantial financial investments, established market access arrangements, and protected supplier contracts based on this rate, Pappas composed. The midstream boost to 20% interrupted their service designs, developing more obstacles for operators and requiring numerous to leave Ohio while discouraging other books from seeking offered licenses.