• PricewaterhouseCoopers study: USA could reap billions by taxing online gambling revenues

    27 February 2009


    PricewaterhouseCoopers recently released the results of a study they conducted for UC Group, which is an online payment service company, concluded that the USA could stand to earn nearly $52 billion over the course of 10 years. How? It’s simple – by regulating and taxing online casinos. Easy enough, right?

    Not really, but we’re getting there. Barney Frank is due to submit a bill as early as March to start the process of repealing the UIGEA, which was passed in 2006. The UIGEA was attached (which Obama is dead set against) to the Port Security Act, or else it would have never passed on its own.

    I tend to agree with Jeffrey Sandman, a spokesman for the Safe and Secure Internet Gambling Initiative, who was quoted as saying “There is a dramatic need to have a regulated system that protects American consumers. Right now, it’s the Wild West,” when commenting on this study. If you have gambled online recently, you would understand that it’s pretty much everyone for themselves, for the most part, when it comes to certain USA facing casinos that try to take advantage of players. Casino affiliate sites do the best they can to steer players away from rogue casinos by keeping both a blacklist, as well as a recommended list of casinos that are safe to play at. The key to everything is to do your homework and study up on the casino(s) you want to play at before you download, install their software, signup for an account and make your first deposit. Doing so will save you both a headache and money in the long run!

    In closing, I believe that this study will definitely add fuel to the fire for Barney Frank’s bill to repeal the UIGEA. The USA economy is a disaster right now, and even though it may be years before we’re out of this recession (depression, IMO), an extra $52 Billion over 10 years definitely wouldn’t hurt. Keep in mind that this study only covered online casinos in operation today, and doesn’t mention what would happen if Vegas and other land-based casinos stepped into the picture and started their own online casinos. That number of $52 Billion could at least double, if that happened…

    Related News

    • Ireland considering increasing betting tax to punters

      Gambling News

      Ireland Considering Increasing Betting Tax to PuntersJesse Eddleman30 May 2017

      The way that taxes are handled in any particular gambling regime can be a key part of how the industry becomes structured as a whole. If taxes are too low, there isn't enough money to maintain the upkeep for the regulatory commission, and standards can fall. On the other hand, if taxes are too high, then they will have trouble attracting any operators at all because the profit margins will be too small.

      Read full article
    • Online revision us gambling

      Gambling News

      US Attorney General Pick Sessions May "Revisit" Online GamblingJesse Eddleman01 February 2017

      One of the most important pieces of legalese that has come down in the United States for online gambling in the United States was a 2011 opinion about the Wire Act of 1961. The Wire Act was previously used as evidence that online gambling is illegal in the United States (and is the other major US law affecting online gambling from the UIGEA).

      Read full article
    • New york

      Poker News

      Bill for Online Poker in New York Gets Traction08 February 2016

      The situation with online poker in the United States is extremely tricky. Because the game is unlikely to be regulated on a national level, it's up to the states to regulate things one at a time. New York has been one of the states putting up the most resistance to regulating the industry, but a recent development has put players in a position of being a bit more hopeful than before.

      Read full article