A Louisiana state representative's proposal to increase sports betting tax from 15% to 51% was quickly withdrawn following industry pushback. Rep. Roger Wilder III (R-Livingston Parrish) introduced House Bill 22 as part of Gov. Jeff Landry's broader tax reform initiative, but requested deferral just two days later.

The proposed 51% rate would have matched New York and Vermont's tax rates as the highest in the nation. Currently, Louisiana generates approximately $55 million annually from online sports betting, with an estimated handle of $3 billion.

"I have some learning to do," Wilder acknowledged, expressing his intention to better understand industry concerns before pursuing any tax changes.

While the bill received bipartisan support and backing from community groups concerned about gambling's social impact, industry representatives strongly opposed the increase. Caesars Entertainment cited their Superdome sponsorship as an investment made based on the current 15% rate, suggesting such commitments would be unfeasible under higher taxation.

The bill is effectively dead for the current legislative session, which ends November 25. This development follows a broader trend of attempted sports betting tax increases across states, with Illinois being the only successful case this year, implementing a progressive tax structure based on operator market share.

Louisiana's sports betting market ranks in the upper half of states with legalized wagering, highlighting the significance of maintaining competitive tax rates while balancing state revenue needs.

Related Articles

Previous Articles