New MA Sports Betting Bill Includes Significant Tax Increase & Restriction on In-Play Betting
New MA Sports Betting Bill Includes Significant Tax Increase & Restriction on In-Play Betting
Massachusetts sports betting could look entirely different if a new expense proposed in the Senate achieves success. And if history is any indicator, controlled sports betting in other states could also alter considerably.
SD 1657 existed by Sen. John Keenan. “An Act Addressing Economic, Health, and Social Harms Caused by Sports Betting” aims to increase the current sports betting tax rate from 20% to 51%. Furthermore, Sen. Keenan calls for a total restriction on live sports betting (in-game betting) and prop bets.
The main point to remember is that Massachusetts has actually been at the leading edge of stricter sports betting policies. The second thing to understand is that the language of this costs resembles the SAFE Bet Act, a federal piece of legislation presented in 2024.
This bill was presented not long after former Massachusetts Governor and existing NCAA president Charlie Baker testified in front of the Senate in a meeting on sports betting guideline.
So, while this is presently a Massachusetts expense, it’s likely to impact other states that use regulated sports betting.
A closer look at SD 1657
Tax
Beginning with the tax rate boost, bringing sports betting to 51% has actually been a target for Sen. Keenan before. Keenan proposed a tax boost at the last legal session, however it was rejected. This boost would have been available in the state’s budget plan costs.
Just three markets have tax rates of 51%, the greatest in the nation: New York, Rhode Island, and New Hampshire. At 20%, Massachusetts presently ranks 6th highest.
Prohibiting live betting and prop betting
The step prohibits in-play (live betting) or prop sports betting. Only straight wagers would be allowed, limiting sportsbooks to offering just moneyline, spread, and totals.
While Massachusetts and other markets have constraints on collegiate wagering, this would impact even expert sporting occasions.
The bill likewise seeks to add rewards and same-game parlays to the category of “unfair and deceptive practices.” Sportsbooks favour same-game parlays due to their high “hold” percentage, the quantity of cash they keep off each $1 wagered.
Gamer Limits
SD 1657 likewise intends to create mandatory day-to-day and month-to-month limitations for bettors. Bettors could not wager more than $1,000 a day and $10,000 a month without an ‘affordability assessment’ which includes inspecting checking account. A gamer can not wager more than 15% of the amount in their account.
Massachusetts would become the first market to need a cost evaluation on bettors.
Marketing restrictions
Keenan likewise wants to remove marketing during telecasted sporting occasions. The procedure would forbid sportsbooks from running advertisements during games. The Massachusetts Gaming Commission has actually checked out developing a restriction on in-game ads before. However, this did not go through as nationwide TV deals make this hard to impose.
Will the procedure pass?
The measure is extreme in its changes to the sports betting industry in Massachusetts. Banning prop sports betting and increasing the sports betting tax rate will likely result in pushback from local sportsbooks and industry supporters.
Because of this, the procedure will likely be battled in the Senate and the House of Representatives. In the previous session, Keenan stopped working to raise the tax rate.
He would have to encourage the other senators who did not support his initiative before to alter their minds. If and when the Senate discusses this step, it is impossible to inform how it will be gotten.
