Lower sports betting tax rise proposed in Louisiana
The Louisiana House has pushed forward with a bill to increase sports betting taxes, but with a lower increase than was initially proposed.
House Bill 639, proposed by Rep. Neil Riser proposed, would increase the tax rate on mobile sports betting from 15% to 32.5%.
However, this week House representatives voted to support an amendment that would set the tax rate at 21.5%, though the 10% tax on in-person sports betting would remain unchanged.
The bill is part of a broader effort to increase revenue in the state as legislators face a daunting US$338.9 million budget shortfall for the year 2026. Mobile sports betting, which launched in the state in 2022, is one of the areas that lawmakers have targeted as a potential fundraising sector.
Estimates of the potential return from the original proposed tax rate suggested that it could reach an annual rate of US$190 million by 2030. However, no new estimates have been issued since the bill was amended to the lower tax rate.
The bill, which will be considered by the Senate, proposes that 25% of the tax revenue from sports betting should go to a college sports fund, while 3% would support students with disabilities in education.
Other allocations include early childhood education, local government, and the Louisiana General Fund.
Dig deeper
2025/04/30: Louisiana lawmakers discuss tax hike for sports betting operators
2025/05/13: Sportsbooks react against North Carolina tax rise
2025/05/09: Colorado bill to change online sports betting promo taxes delayed
2025/01/15: Analyst: Maryland tax hikes would “rattle online sports betting sector”
Charlotte Capewell brings her passion for storytelling and expertise in writing, researching, and the gambling industry to every article she writes. Her specialties include the US gambling industry, regulator legislation, igaming, and more.
