A report commissioned by Light and Wonder has recently outlined just how much the US state of New York stands to gain from iGaming in annual tax, and, importantly, it surpasses what is expected to gain from sports betting.
Put together by the VIXIO Gambling Compliance, the report outlines how much other states in the US are set to gain in taxes by using New York as an example.
Currently, there are only six states that have gone as far as to legalise online gambling, made up of New Jersey, Pennsylvania, Michigan, Delaware, West Virginia, and Connecticut. According to this white paper, combined these states brought in approximately $970 million last year in tax revenue.
Nevertheless, since the Supreme Court overturned the Professional and Amateur Sports Protection Act of 1992 which banned all forms of sports betting nationwide, more and more states have legalised sports betting, and are seeing the revenue that can bring in, but very few are going so far as to allow sports betting via an online site just as few have embraced the idea of iGaming online.
“VIXIO’s report demonstrates that states are leaving billions of dollars in tax revenue on the table which could fund a variety of public programs and services without resorting to broad-based taxes,” said Howard Glaser, Global Head of Government Affairs of Light & Wonder. “The dozens of states that already have land-based casino gaming merely have to turn on the digital channel to realize tax revenues which are otherwise being siphoned off by the prevalence of illegal off-shore internet gaming.”
The white paper further goes on to detail that states could generate $6.35 billion in annual tax revenue from legalising US iGaming.
