A significant concern has emerged in Nevada regarding a provision in the proposed federal budget bill that threatens to limit loss deductions for gamblers.
U.S. Rep. Dina Titus, a Democrat from Nevada, and Derek Stevens, the co-owner of notable downtown Las Vegas casino properties including Circa, The D, and Golden Gate, have voiced their opposition to this amendment that could severely impact high-limit and professional gamblers.
In a recent post on X, formerly known as Twitter, Titus emphasized that the provision embedded within the Senate’s budget bill could harm poker players and other gamblers by restricting their ability to deduct losses from their taxable income.
“Buried within the BS Republican Budget bill is a provision that harms poker players and those who gamble by limiting loss deductions,” she wrote. “I’m working on a legislative fix that fairly treats gaming losses in the tax code.”
Stevens quickly amplified Titus’s message, sharing her concerns about the implications of the proposed tax changes for the gaming community.
In further statements, Titus reiterated her dismay, highlighting how the budget’s “anti-gambling provision” would adversely affect constituents in her district, famously known as the casino capital of the world, Las Vegas.
“This is just another attack on gaming and tourism and on districts like mine that rely on these industries,” Titus argued. “This also punishes people who are trying to do the right thing by reporting gambling on their taxes, pushing them towards offshore outlets and the predictions market.”
Titus expressed her commitment to introducing an amendment aimed at preserving the existing loss deduction, noting, “Given the chance, I would introduce an amendment to maintain the current loss deduction.”
“If Republicans are unwilling to accept this amendment, I will pursue stand-alone legislation to fix this bad policy,” she added.
The Senate version of the budget bill proposes that gamblers can only deduct losses up to 90 percent of their winnings.
For instance, if an individual won $100,000 in a casino yet lost an equivalent amount over the year, under the new proposal, they would be liable for taxes on $10,000 instead of filing as tax-neutral as per the current tax regulations.
Experts within the gambling and casino industries have raised alarms that this revamped tax code would pose challenges for professional gamblers, including poker players and sports bettors, who rely on the current deductions to make their enterprises feasible.
There is a growing fear within the gaming community that the proposed changes may drive professional gamblers toward unregulated or offshore online casinos, thereby undermining markets in places like Las Vegas and Reno.
Just as of Wednesday morning, the House version of the bill did not include language altering the current gambling tax structure.
A spokesperson from Titus’s office acknowledged her awareness of this contentious provision in the Senate amendment to the budget bill, describing it as an example of gaming being unfairly targeted, which can significantly impact jobs and the economy in Las Vegas.
“This is another reason why Rep. Titus will be voting against the bill when it is considered on the House floor,” the spokesperson indicated.
As the House deliberates on the bill and any amendments, the future of the gambling tax code remains uncertain.
The proposed changes, should they remain in the bill, would take effect next year if signed into law by President Donald Trump, who has expressed a strong desire for congressional approval before July 4.
image source from：reviewjournal
