Sport Betting Industry Aims To Protect Itself

Latest Massachusetts Sports Gambling Bill Contains Substantial Tax Boost & Ban on Live Betting

Massachusetts sports betting might look entirely various if a new bill proposed in the Senate is successful. And if history is any sign, regulated sports betting in other states could likewise alter drastically.

SD 1657 was presented by Sen. John Keenan. “An Act Addressing Economic, Health, and Social Harms Caused by Sports Betting” aims 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 bear in mind is that Massachusetts has actually been at the forefront of stricter sports betting guidelines. The second thing to understand is that the language of this expense resembles the SAFE Bet Act, a federal piece of legislation presented in 2024.

This bill was presented not long after former Massachusetts Governor and existing NCAA president Charlie Baker affirmed in front of the Senate in a meeting on sports betting policy.

So, while this is presently a Massachusetts bill, it’s most likely to affect other states that provide controlled sports betting.

A closer take a look at SD 1657

Tax

Beginning 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, but it was declined. This boost would have come in the state’s budget costs.

Just 3 markets have tax rates of 51%, the highest in the country: New York, Rhode Island, and New Hampshire. At 20%, Massachusetts presently ranks sixth greatest.

Prohibiting live betting and prop betting

The measure restricts in-play (live betting) or prop betting. Only straight wagers would be allowed, limiting sportsbooks to offering just moneyline, spread, and totals.

While Massachusetts and other markets have limitations on college wagering, this would impact even professional sporting events.

The costs likewise seeks to add bonus offers and same-game parlays to the classification of “unjust and misleading practices.” Sportsbooks favour same-game parlays due to their high “hold” percentage, the quantity of money they deflect each $1 bet.

Gamer Limits

SD 1657 also aims to produce mandatory everyday and regular monthly limits for bettors. Bettors might not wager more than $1,000 a day and $10,000 a month without an ‘price assessment’ which involves checking bank accounts. A player can not wager more than 15% of the quantity in their account.

Massachusetts would become the first market to need a price assessment on bettors.

Marketing restrictions

Keenan also wishes to remove marketing during telecasted sporting occasions. The procedure would restrict sportsbooks from running advertisements throughout games. The Massachusetts Gaming Commission has checked out creating a restriction on in-game ads before. However, this did not go through as nationwide television deals make this hard to impose.

Will the procedure pass?

The measure is harsh in its changes to the sports betting industry in Massachusetts. Banning prop betting and increasing the sports betting tax rate will likely cause pushback from local sportsbooks and industry .

Because of this, the step will likely be battled in the Senate and your home of Representatives. In the previous session, Keenan stopped working to raise the tax rate.

He would need to encourage the other senators who did not support his initiative before to change their minds. If and when the Senate discusses this measure, it is difficult to inform how it will be received.