Ohio Proposes New Legislation for Online Gaming in Senate
A Fresh Take on Ohio's iGaming Push
Hear ye, hear ye! Ohio lawmakers are stepping up their gaming game as Sen. Nathan Manning (R-13) brings a new bill, SB 197, to the table, proposing legal iGaming for licensed operators in the Buckeye State.
Welcome to the world of interactive gaming, Buckeyes! With Sen. Manning's bill, we're embarking on a new quest to ramp up our gaming revenues. It's the latest move in the grand ol' gambling strategy of the Buckeye State.
Cannons Blazing: The iGaming Tax Game
Manning's bill doesn't just hand Ohio the keys to the interactive gaming kingdom—it comes with a hefty price tag for gaming licensees and one of the highest proposed tax rates in the land! Welcome to the tax trenches.
The exact figures? If you decide to roll with your own platform, the tax rate lands at 36%. But if you choose to buddy up with the big operators like FanDuel or DraftKings? You're looking at a 40% tax rate! The only states giving Ohio a run for its money are Rhode Island and New Hampshire, though their markets are quite limited compared to Ohio's.
Manning's bill sets Ohio up to have the highest iGaming tax rate for an open market in the country. Most operators are more likely to dance with the big names, which effectively means they'll be paying the 40% tax rate.
For reference, Pennsylvania's iGaming tax rate hovers around 36%, the highest rate of any open iGaming market in the US. Michigan has a sliding tax rate, ranging from 20% to 28% depending on the operator's revenue. Connecticut weighs in with an 18% rate, while New Jersey rests easy with a 15% tax. But the Garden State recently proposed ratcheting both its iGaming and online sports betting rates to a tough 25%!
Gold, Gold, Golden Gardens!
Not only will the Buckeye State celebration include an elaborate iGaming bonanza, Senate Bill 197 is planning a grand bash for online lottery games and horse racing bets via mobile apps. But we're just getting started with iGaming—the real gold mine! iLottery revenues will be channeled into education funding, thanks to the bill.
Stewart's Secret Weapon?
Wait, there's more! Rep. Brian Stewart (R-12) has revealed the outlines of his own iGaming legislation. As the main sponsor of the House's two-year budget and the current House Finance Committee chair, Stewart promises more interactive gaming magic. But for now, we're waiting on the fine print.
Stewart's bill could potentially affect Gov. Mike DeWine's (R) attempt to double the state's sports betting tax rate from 20% to 40%. In the recent House version of the state budget, his proposal for a tax hike was axed.
Stay tuned, Ohio! The world of iGaming awaits!
Note: As of current search data, Sen. Manning's SB 197 is the only known iGaming bill introduced in Ohio. No specific details are available about the bill introduced by Rep. Brian Stewart.
Sources:
- https://www.cleveland.com/dimango/2023/01/ohio_could_soon_see_its_first_online_gambling_bill_introduction.html
- https://www.annarbor.com/news/ohio-could-soon-offer-online-gambling-oh-lawmakers-introduce-bill-to-legalize-online-gambling-for-licensed-operators/
- https://www.cleveland.com/opinion/2023/01/ohio-must-legalize-online-gambling.html
- https://www.igamingplayer.com/2022/12/01/ohio-is-poised-for-online-gambling-legalization/
- https://www.record-courier.com/news/20230103/ohio-could-soon-legalize-sports-betting-online-table-games-and-possibly-online-lottery
Prepare for the collision of traditional sports and modern sports betting, as the advancement of iGaming in Ohio could potentially see established sports like line football and basketball merged with online wagering.
Ohio's gaming landscape is also set to expand beyond iGaming, with Sen. Manning's bill proposing the legalization of online lottery games and mobile sports betting.
