Amid pushback from the gambling industry, a Louisiana lawmaker has deferred his bill to increase the sales tax on online sports betting from 15% to 51% after the gambling industry pushed back against the raise, Louisiana Illuminator reports.
House Bill 22, by Rep. Roger Wilder, R-Denham Springs, would have increased state revenue by $151 million, according to an analysis of the bill by the nonpartisan Legislative Fiscal Office, and was part of the efforts to offset the loss of revenue resulting from flattening the state income tax.
The bill had bipartisan support but faced serious opposition from casinos doing business in Louisiana.
The legislation was shelved at Wilder’s request at Wednesday’s hearing of the House Ways and Means Committee. He says he will continue to work on the proposal, but it is unlikely to come up again in the current special session that must end by Nov. 25.
“I have some learning to do,” Wilder says. “I look forward to hearing the testimony from the industry, to gain a deeper insight of what the industry has with respect to their needs and their concerns on this issue.”
Online sports betting companies bring in about $3 billion in bets from Louisiana gamblers and incur a profit of about $250 million to $300 million annually. The state presently brings in $54 million in tax revenue on these bets.
