Trumps Big Beautiful Bill: bad news for American gamblers?
President Donald Trumps new legislative package, called the One Big Beautiful Bill (OBBBA), is causing a stir in the gambling world. Although the bill is presented as a wide-ranging effort to cut red tape and boost federal tax revenues, one lesser-known provision is raising serious concerns among 바카라s, professional gamblers, and industry experts.
This change, which reduces the amount of gambling losses that players can deduct on their taxes from 100 percent to 90 percent, may have a significant impact on the legal gambling market and key gambling cities like Las Vegas.
For those unfamiliar, the One Big Beautiful Bill is a major and ambitious piece of legislation crafted to simplify various federal regulations and create new sources of tax revenue. It spans multiple sectors and aims to streamline long-standing bureaucratic processes, making them quicker and more efficient. The bill also features a clause on gambling tax deductionsa technical update that could have quite influential effects.
A 10% mandatory federal tax
Until now, gamblers in the United States have been able to deduct all their losses from their taxable winnings. This rule helps balance out the swings that are common in gambling, especially for professionals who may win and lose large sums over a year.
The new bill proposes reducing this deduction to 90 percent starting in 2026. While the difference might appear small, many in the gambling world warn that it could discourage people from playing in regulated US markets and push them towards offshore sites where their losses are not tax deductible but the tax laws are looser.
The reaction from the gambling industry has been swift and vocal. Derek Stevens, owner of several 바카라s in downtown Las Vegas, including The D, Golden Gate, and Circa, said the change could threaten jobs and tourism in the city. This affects everyone in Las Vegas, Stevens told local media.
Industry rings alarm on Vegas
It impacts jobs. It impacts visitation and tourism. Its an important thing that just needs to be corrected,” Steven believes the change was made without a full understanding of how the gambling economy works and fears it could damage one of the countrys most iconic industries.
Poker players have also expressed concern. Doug Polk, a well-known professional poker player, said that reducing loss deductibility could reduce the amount of money circulating in the legal gambling system.
In a recent video, Polk warned that fewer people might gamble legally, while illegal and offshore gambling could grow. There will be fewer people who can gamble, less money to be won, more people going overseas, he said. All these negative impacts could cost more than the 10 percent youre trying to gain.
Despite these warnings, the bills supporters, including President Trump and many Republicans, defend the changes. They argue that Americans are gambling more than ever, which means the government can collect more tax revenue without harming the industry. According to a report from the American Gaming Association in August 2024, over half of all American adults took part in some form of gambling in the previous year. The survey also found that 122 million adults visited a 바카라a record high. Nearly nine out of ten Americans said they found gambling acceptable for themselves or others.
The AGA represents some of the most prominent names in the gambling industry, including DraftKings, MGM Resorts International, and Churchill Downs. A federal tax on their operations could generate substantial revenue for the government. Trumps camp sees the new deduction limit as a reasonable adjustment in light of rising gambling activity and revenues.
Lawmakers join the opposition
However, some lawmakers are opposing recent changes. Nevada Congresswoman Dina Titus has introduced the FAIR BET Act, which seeks to restore the full 100 percent deduction for gambling losses.
Additionally, she is advocating for an increase in the slot machine tax reporting threshold, raising it from $1,200 to a significantly higher amount, potentially $5,000, to better align with modern gambling trends. The current threshold has remained unchanged since 1977, and both the gaming industry and the IRS have called for an update. faces opposition in the Senate, particularly from Republican Senator Todd Young, which may delay a resolution.
Experts address the real risk
Experts from Casino.org shared their insights with SiGMA News about the potential effects of the bill. Devin OConnor, a senior reporter, called the One Big Beautiful Bill mostly a disadvantage for both gamblers and industry players. He mentioned that the decrease in loss deductibility means a gambler who wins and loses $100,000 during a year would have to pay taxes on what they never actually keep. This would be a significant blow to both casual and professional gamblers, OConnor explained.
This would be a significant blow to both casual and professional gamblers.
~ Devin O’ Connor, Senior Journalist
However, he pointed to one silver lining in the law: the increase in the slot tax reporting threshold from $1,200 to $2,000. That change has been welcomed by players and 바카라s alike, he noted, adding that the threshold had not been updated since 1977.
OConnor also warned about a potential unintended consequence. Since gambling losses on illegal or offshore sites are not tax-deductible under US law, the tighter rules could push more players towards overseas platforms. If the US tax system becomes too restrictive, we may see more businesses move offshore, he cautioned.
Corey Levitan, another industry analyst, took a more measured view. While some high rollers have threatened to take their business offshore in response to the tax changes, Levitan believes the overall impact on Las Vegas will be limited.
Vegas is already facing challenges from high costs, political issues, and competition from new 바카라s.
~ Corey Levitan, Senior Journalist
Levitan pointed out that professional gamblers who actually deduct losses represent less than one percent of total gaming revenue. Most revenueabout two-thirdscomes from slot machines, which professional gamblers tend to avoid, he explained.
Levitan explained that the new tax rule is likely to hit sports bettors, poker players, and blackjack players the hardest, as their playing styles typically yield lower returns for 바카라s.
As discussions continue, the gambling industry and lawmakers remain in a state of uncertainty. Still, Derek Stevens is hopeful a resolution wont take long. It should be a simple fix, he said. This is good for all our states, for gamblers, and for the industry as a whole. But it needs to happen soonbefore the damage is done.
For some, the One Big Beautiful Bill is a tricky law that aims to simplify regulations and boost federal revenue, but for some, it is a move that may disrupt a major American industry. The coming months will reveal whether lawmakers heed industry concerns or push changes that could reshape the gambling landscape for years.
