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Sport Betting Industry Wants To Protect Itself

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  • Founded Date July 22, 1955
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Company Description

New Massachusetts Sports Betting Proposal Features Massive Tax Boost and Prohibition on In-Play Betting

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Massachusetts sports betting could look totally different if a brand-new costs proposed in the Senate achieves success. And if history is any sign, regulated sports betting in other states might likewise alter dramatically.

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SD 1657 existed by Sen. John Keenan. “An Act Addressing Economic, Health, and Social Harms Caused by Sports Betting” aims to increase the existing sports betting tax rate from 20% to 51%. Furthermore, Sen. Keenan requires a total restriction on live betting (in-game wagering) and prop bets.

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The main thing to bear in mind is that Massachusetts has been at the forefront of more stringent sports betting regulations. The second thing to know is that the language of this costs resembles the SAFE Bet Act, a federal piece of legislation introduced in 2024.

This costs was introduced not long after former Massachusetts Governor and present NCAA president Charlie Baker testified in front of the Senate in a meeting on sports betting policy.

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

A closer take a look at SD 1657

Tax

Starting 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 declined. This increase would have been available in the state’s budget bill.

Just 3 markets have tax rates of 51%, the greatest in the nation: New York, Rhode Island, and New Hampshire. At 20%, Massachusetts presently ranks sixth highest.

Prohibiting live betting and prop betting

The measure restricts in-play (live betting) or prop betting. Only straight wagers would be allowed, restricting sportsbooks to providing just moneyline, spread, and totals.

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While Massachusetts and other markets have limitations on college betting, this would affect even professional sporting events.

The costs also looks for to include benefits and same-game parlays to the category of “unjust and misleading practices.” Sportsbooks favour same-game parlays due to their high “hold” percentage, the quantity of cash they deflect each $1 wagered.

Gamer Limits

SD 1657 also aims to create compulsory day-to-day and regular monthly limitations for bettors. Bettors could not wager more than $1,000 a day and $10,000 a month without an ‘affordability evaluation’ which includes checking checking account. A gamer can not wager more than 15% of the amount in their account.

Massachusetts would become the very first market to need an affordability evaluation on bettors.

Marketing constraints

Keenan also wishes to remove marketing throughout telecasted sporting events. The step would prohibit sportsbooks from running ads throughout games. The Massachusetts Gaming Commission has looked into developing a restriction on in-game advertisements before. However, this did not go through as nationwide television deals make this tough to enforce.

Will the measure pass?

The measure is harsh in its changes to the sports betting industry in Massachusetts. Banning prop betting and increasing the sports betting tax rate will likely cause pushback from local sportsbooks and industry supporters.

Because of this, the measure will likely be combated in the Senate and your home of Representatives. In the previous session, Keenan failed to raise the tax rate.

He would need to convince the other senators who did not support his initiative before to change their minds. If and when the Senate discusses this measure, it is impossible to tell how it will be gotten.