Tax rates are being discussed

Pennsylvania is one step closer to legalizing online casinos and lottery

Republican State Representative, Scott Petri, said the legislature is considering three different proposals tied to the expansion of casinos into online platforms.
2017-04-25
Reading time 58 seg
Republican State Representative, Scott Petri, said the legislature is considering three different proposals tied to the expansion of casinos into online platforms.

Pennsylvania would be the first state to allow both casinos and the lottery online if legislation passes. Delaware, Nevada and New Jersey are states that currently allow online gambling, while online lotteries are permitted in Kentucky, Georgia, Illinois and Michigan. 

Pennsylvania Lottery Spokesperson Gary Miller says proposals for online lotteries are circulating for the Department of Revenue’s budget for the next fiscal year set to start in July.

Miller noted that the lottery benefits older populations in Pennsylvania by generating USD 1B per year toward programs for the elderly.

“With a growing number of senior citizens needing this, we need more options,” Miller said. 

Online casinos are also up for debate. Petri says some Pennsylvania casinos oppose online gambling because they argue it’ll take money away from brick-and-mortar casinos.

One proposal offers a “mini casino” option, which some stakeholders say will allow for small local shares in the industry, according to Petri. Amid financial challenges, Petri says communities are also worried about what a shift to online platforms means for current casino employees’ future jobs. 

A debate has also ensued on whether tax rates should be the same for online platforms as brick-and-mortar casinos.

"The entire [online] industry thinks it should be 15 percent but not more than 20 percent,” Petri told Fox News. That’s in contrast with the 54 percent brick-and-mortar slots rate, Petri said.

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