Recent Massachusetts Sports Betting Bill Features Substantial Tax Increase And Ban On In-Play Betting
Massachusetts sports betting could look completely different if a brand-new costs proposed in the Senate succeeds. And if history is any indication, regulated sports betting in other states could likewise alter dramatically.
SD 1657 existed by Sen. John Keenan. "An Act Addressing Economic, Health, and Social Harms Caused by Sports Betting" intends to increase the present sports betting tax rate from 20% to 51%. Furthermore, Sen. Keenan calls for a total ban on live betting (in-game wagering) and prop bets.
The main thing to keep in mind is that Massachusetts has been at the forefront of stricter sports betting guidelines. The second thing to understand is that the language of this costs is similar to the SAFE Bet Act, a federal piece of legislation presented in 2024.
This expense was introduced not long after previous Massachusetts Governor and existing NCAA president Charlie Baker affirmed in front of the Senate in a meeting on sports betting regulation.
So, while this is currently a Massachusetts costs, it's most likely to affect other states that use managed sports betting.
A closer look at SD 1657
Taxation
Starting with the tax rate boost, bringing sports betting to 51% has actually been a target for Sen. Keenan before. Keenan proposed a tax boost at the last legal session, however it was declined. This boost would have come in the state's spending plan bill.
Only three markets have tax rates of 51%, the highest in the country: New York, Rhode Island, and New Hampshire. At 20%, Massachusetts currently ranks 6th greatest.
Banning live betting and prop betting
The step prohibits in-play (live sports betting) or prop betting. Just straight wagers would be allowed, restricting sportsbooks to offering only moneyline, spread, and totals.
While Massachusetts and other markets have limitations on collegiate wagering, this would impact even professional sporting events.
The costs also seeks to add bonus offers and same-game parlays to the category of "unreasonable and misleading practices." Sportsbooks favour same-game parlays due to their high "hold" portion, the amount of cash they deflect each $1 bet.
Player Limits
SD 1657 likewise aims to develop mandatory daily and monthly limitations for bettors. Bettors could not wager more than $1,000 a day and $10,000 a month without an 'affordability assessment' which involves checking bank accounts. A gamer can not wager more than 15% of the quantity in their account.
Massachusetts would end up being the very first market to need a cost assessment on bettors.
Marketing limitations
Keenan also wants to get rid of advertising during televised sporting events. The step would prohibit sportsbooks from running ads throughout video games. The Massachusetts Gaming Commission has actually checked out producing a restriction on in-game ads before. Nevertheless, this did not go through as national television deals make this tough to enforce.
Will the procedure pass?
The procedure is extreme in its changes to the sports betting industry in Massachusetts. Banning prop betting and increasing the sports betting tax rate will likely lead to pushback from local sportsbooks and industry supporters.
Because of this, the procedure will likely be fought in the Senate and your home of Representatives. In the previous session, Keenan stopped working to raise the tax rate.
He would have to convince the other senators who did not support his effort before to alter their minds. If and when the Senate discusses this measure, it is difficult to inform how it will be received.
