Recent Massachusetts Sports Gambling Bill Includes Substantial Tax Increase & Prohibition on In-Play Betting

Massachusetts sports betting might look entirely different if a new expense proposed in the Senate achieves success. And if history is any indicator, managed sports betting in other states could also change significantly.

SD 1657 was presented by Sen. John Keenan. “An Act Addressing Economic, Health, and Social Harms Caused by Sports Betting” aims to increase the existing sports betting tax rate from 20% to 51%. In Addition, Sen. Keenan requires a total ban on live betting (in-game betting) and prop bets.

The main point to remember is that Massachusetts has actually been at the leading edge of stricter sports betting policies. The second thing to know is that the language of this expense resembles the SAFE Bet Act, a federal piece of legislation presented in 2024.

This expense 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 guideline.

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

A closer look at SD 1657

Taxation

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, however it was rejected. This increase would have come in the state’s spending plan bill.

Just three 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.

Banning live betting and prop betting

The procedure restricts in-play (live betting) or prop betting. Just straight wagers would be permitted, restricting sportsbooks to providing only moneyline, spread, and overalls.

While Massachusetts and other markets have constraints on collegiate wagering, this would impact even expert sporting occasions.

The bill likewise looks for to add rewards and same-game parlays to the classification of “unreasonable and misleading practices.” Sportsbooks favour same-game parlays due to their high “hold” percentage, the amount of money they deflect each $1 bet.

Gamer Limits

SD 1657 also aims to develop compulsory everyday and monthly limitations for bettors. Bettors might not wager more than $1,000 a day and $10,000 a month without an ‘cost assessment’ which includes examining bank accounts. A gamer can not wager more than 15% of the quantity in their account.

Massachusetts would end up being the first market to require a cost assessment on bettors.

Marketing constraints

Keenan also wishes to get rid of marketing during telecasted sporting events. The measure would forbid sportsbooks from running advertisements during games. The Massachusetts Gaming Commission has actually checked out developing a ban on in-game ads before. Nevertheless, this did not go through as nationwide television deals make this tough to impose.

Will the measure pass?

The procedure is harsh in its modifications 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 market fans.

Because of this, the measure will likely be combated in the Senate and the House of Representatives. In the previous session, Keenan failed to raise the tax rate.

He would have to persuade the other senators who did not support his initiative before to alter their minds. If and when the Senate discusses this procedure, it is impossible to inform how it will be gotten.