Pennsylvania Introduces Bill To Regulate Online Gambling With 54 Percent Tax Rate
Pennsylvania could become the fourth U.S. state to offer online gambling. With a population of 12.8 million it could join New Jersey, Delaware and Nevada. The SB 900 bill has been formally introduced and has gained support from key figures in the state.
As it stands SB 900 focuses on licensing slot machines but also includes other provisions related to online gaming. The model follows that of New Jersey in that land based casino will be allowed to offer slots machines and table games online.
Support is widespread with State Senators like Robert Tomlinson, Elder Vogel, Joseph Scarnati and Kim Ward all declaring their backing for the bill, The bill proposes a 54 percent tax rate for online gaming revenues with operators required to attain a separate internet gaming permit (IGP) and license from the Pennsylvania Gaming Control Board if they want to operate in aa regulated market.
In terms of cost the IGP would be $10m for five year period with a renewal fee of $1 million if the operator wants to remain active in the Pennsylvania market. The entities included in the IGP are slot machine an table games licenses only. Ultimately the Pennsylvania Gaming Control Board will have final say as to what games can be offered online. The ability to issue temporary regulations for online gambling ahead of the full regulation will also be granted to the state regulatory body.
Good news for operators with a shady past in that SB 900 does not like in many other states include a “bad actor” clause which excludes those who operated illegally in the past.