Recent Massachusetts Sports Gambling Proposal Contains Substantial Tax Hike & Restriction on Live Betting

Massachusetts sports betting might look entirely different if a new expense proposed in the Senate succeeds. And if history is any indication, controlled sports betting in other states could also change dramatically.

SD 1657 existed by Sen. John Keenan. “An Act Addressing Economic, Health, and Social Harms Caused by Sports Betting” intends to increase the present sports betting tax rate from 20% to 51%. In Addition, Sen. Keenan calls for a complete ban on live betting (in-game betting) and prop bets.

The main point to keep in mind is that Massachusetts has actually been at the leading edge of more stringent sports betting guidelines. 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 costs was presented not long after former Massachusetts Governor and existing NCAA president Charlie Baker affirmed in front of the Senate in a meeting on sports betting guideline.

So, while this is presently a Massachusetts costs, it’s likely to affect other states that provide managed sports betting.

A closer take a look at SD 1657

Taxation

Beginning with the tax rate increase, bringing sports betting to 51% has been a target for Sen. Keenan before. Keenan proposed a tax boost at the last legal session, however it was turned down. This increase would have can be found in the state’s budget bill.

Only three markets have tax rates of 51%, the greatest in the nation: New York, Rhode Island, and New Hampshire. At 20%, Massachusetts currently ranks 6th highest.

Prohibiting live betting and prop betting

The measure restricts in-play (live betting) or prop betting. Just straight wagers would be enabled, limiting sportsbooks to offering only moneyline, spread, and overalls.

While Massachusetts and other markets have restrictions on college betting, this would impact even expert sporting occasions.

The bill also looks for to add bonuses and same-game parlays to the category of “unreasonable and deceptive practices.” Sportsbooks favour same-game parlays due to their high “hold” portion, the quantity of money they deflect each $1 bet.

Player Limits

SD 1657 likewise aims to create necessary everyday and month-to-month limits for bettors. Bettors could not wager more than $1,000 a day and $10,000 a month without an ‘price evaluation’ which includes checking bank accounts. A player can not wager more than 15% of the amount in their account.

Massachusetts would end up being the very first market to require an affordability assessment on bettors.

Marketing restrictions

Keenan likewise wishes to eliminate marketing throughout televised sporting events. The step would prohibit sportsbooks from running ads during video games. The Massachusetts Gaming Commission has looked into producing a ban on in-game advertisements before. Nevertheless, this did not go through as nationwide TV offers make this tough to .

Will the measure pass?

The procedure is extreme in its modifications to the sports betting industry in Massachusetts. Banning prop betting and increasing the sports betting tax rate will likely lead to pushback from local sportsbooks and market fans.

Because of this, the procedure will likely be battled in the Senate and your home 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 effort before to alter their minds. If and when the Senate discusses this measure, it is impossible to tell how it will be received.