Pennsylvania House proposes 16% online casino tax rate
Bill H 271 lowers tax from 54% while also adding in controversial VGT measure
Pennsylvania took another step toward online gambling Wednesday evening as the state’s House of Representatives passed the sweeping gaming expansion bill H 271.
The House made several amendments to the bill, which was approved two weeks ago by the Senate, notably changing the online casino tax rate to 16% instead of 54%, and allowing video gaming terminals (VGTs) into private bars.
The changes mean the bill could face new opposition in the Senate, where the state’s casinos hold significant lobbying power and largely oppose VGTs.
The House version of the bill also calls for a single up-front licensing fee of $8m, compared to the Senate bill which asked for $5m each for poker and casino licences.
Both bills legalized online lottery and DFS, albeit with slightly differing tax rates.
Members of the two houses are now expected to meet in a conference committee to try and iron out differences before the Senate votes again.