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Joint Committee on Taxation Projects Internet Gambling Regulation Would
Generate Nearly $42 Billion in New Revenue
WASHINGTON, Oct. 29 /PRNewswire-FirstCall/ -- As Congress considers how to pay
for health care reform and other critical programs, a Joint Committee on
Taxation analysis released today by Rep. Jim McDermott (D-WA) found that
regulating Internet gambling, as proposed in pending legislation introduced by
Representatives Barney Frank (D-MA) and Jim McDermott (D-WA), would generate
nearly $42 billion over 10 years. The analysis is based on the provision of a
federal license for operators that would allow them to offer online gambling
throughout the United States, while maintaining existing federal prohibitions
on any form of sports betting.
"This analysis further reinforces the fact that a regulated environment will
generate billions in new revenue to offset the costs of health care reform or
other vital government programs," said Michael Waxman, spokesperson for the
Safe and Secure Internet Gambling Initiative. "With the completed analysis,
and support for Internet gambling regulation growing daily, it's only a matter
of time before Congress acts and begins allocating the billions in new revenue
sitting on the table to one program or another."
The opportunity to generate billions in new revenue is especially significant
because of a congressional rule that any piece of legislation must either be
budget neutral or offset with identified savings.
"We believe this tax revenue analysis will encourage immediate discussions and
consideration of pending legislation to regulate Internet gambling," added
Waxman. "With everyone acknowledging that attempts to prohibit the activity
have failed, this provides even more incentive for Congress to act."
House Committee on Financial Services Chairman Frank has announced his intent
to hold a hearing and markup in the coming months on his legislation, the
Internet Gambling Regulation, Consumer Protection and Enforcement Act of 2009
(H.R. 2267). Since its introduction in May, a bipartisan group of more than
60 co-sponsors has signed onto the bill.
Chairman Frank's legislation would establish a framework to permit licensed
gambling operators to accept wagers from individuals in the U.S. It mandates
a number of significant consumer protections including safeguards against
compulsive and underage gambling, money laundering, fraud and identity theft.
Additional provisions in the legislation reinforce the rights of each state to
determine whether to allow Internet gambling activity for people accessing the
Internet within the state and to apply other restrictions on the activity as
determined necessary.
Rep. McDermott's companion bill, the Internet Gambling Regulation and Tax
Enforcement Act (H.R. 2268), would raise revenue for the U.S. Treasury
primarily through ensuring that applicable individual and corporate taxes and
license fees on regulated Internet gambling activities are collected.
Currently, this revenue remains uncollected while millions of Americans wager
online more than $100 billion annually without consumer protections.
About Safe and Secure Internet Gambling Initiative
The Safe and Secure Internet Gambling Initiative promotes the freedom of
individuals to gamble online with the proper safeguards to protect consumers
and ensure the integrity of financial transactions. For more information on
the Initiative, please visit Safe and Secure Internet Gambling Initiative. The Web site provides a
means by which individuals can register support for regulated Internet
gambling with their elected representatives.
SOURCE Safe and Secure Internet Gambling Initiative
Michael Waxman of the Safe and Secure Internet Gambling Initiative,
+1-202-872-0010, +1-202-872-4860, [email protected]
Generate Nearly $42 Billion in New Revenue
WASHINGTON, Oct. 29 /PRNewswire-FirstCall/ -- As Congress considers how to pay
for health care reform and other critical programs, a Joint Committee on
Taxation analysis released today by Rep. Jim McDermott (D-WA) found that
regulating Internet gambling, as proposed in pending legislation introduced by
Representatives Barney Frank (D-MA) and Jim McDermott (D-WA), would generate
nearly $42 billion over 10 years. The analysis is based on the provision of a
federal license for operators that would allow them to offer online gambling
throughout the United States, while maintaining existing federal prohibitions
on any form of sports betting.
"This analysis further reinforces the fact that a regulated environment will
generate billions in new revenue to offset the costs of health care reform or
other vital government programs," said Michael Waxman, spokesperson for the
Safe and Secure Internet Gambling Initiative. "With the completed analysis,
and support for Internet gambling regulation growing daily, it's only a matter
of time before Congress acts and begins allocating the billions in new revenue
sitting on the table to one program or another."
The opportunity to generate billions in new revenue is especially significant
because of a congressional rule that any piece of legislation must either be
budget neutral or offset with identified savings.
"We believe this tax revenue analysis will encourage immediate discussions and
consideration of pending legislation to regulate Internet gambling," added
Waxman. "With everyone acknowledging that attempts to prohibit the activity
have failed, this provides even more incentive for Congress to act."
House Committee on Financial Services Chairman Frank has announced his intent
to hold a hearing and markup in the coming months on his legislation, the
Internet Gambling Regulation, Consumer Protection and Enforcement Act of 2009
(H.R. 2267). Since its introduction in May, a bipartisan group of more than
60 co-sponsors has signed onto the bill.
Chairman Frank's legislation would establish a framework to permit licensed
gambling operators to accept wagers from individuals in the U.S. It mandates
a number of significant consumer protections including safeguards against
compulsive and underage gambling, money laundering, fraud and identity theft.
Additional provisions in the legislation reinforce the rights of each state to
determine whether to allow Internet gambling activity for people accessing the
Internet within the state and to apply other restrictions on the activity as
determined necessary.
Rep. McDermott's companion bill, the Internet Gambling Regulation and Tax
Enforcement Act (H.R. 2268), would raise revenue for the U.S. Treasury
primarily through ensuring that applicable individual and corporate taxes and
license fees on regulated Internet gambling activities are collected.
Currently, this revenue remains uncollected while millions of Americans wager
online more than $100 billion annually without consumer protections.
About Safe and Secure Internet Gambling Initiative
The Safe and Secure Internet Gambling Initiative promotes the freedom of
individuals to gamble online with the proper safeguards to protect consumers
and ensure the integrity of financial transactions. For more information on
the Initiative, please visit Safe and Secure Internet Gambling Initiative. The Web site provides a
means by which individuals can register support for regulated Internet
gambling with their elected representatives.
SOURCE Safe and Secure Internet Gambling Initiative
Michael Waxman of the Safe and Secure Internet Gambling Initiative,
+1-202-872-0010, +1-202-872-4860, [email protected]