Recent Massachusetts Sports Betting Proposal Features Significant Tax …

Massachusetts sports betting might look totally different if a new costs proposed in the Senate is successful. And if history is any indicator, controlled sports betting in other states might likewise alter dramatically.

SD 1657 was presented by Sen. John Keenan. "An Act Addressing Economic, Health, and Social Harms Caused by Sports Betting" intends to increase the present sports betting tax rate from 20% to 51%. In Addition, Sen. Keenan calls for a total restriction on live sports betting (in-game wagering) and prop bets.

The main thing to keep in mind is that Massachusetts has been at the forefront of stricter sports betting guidelines. The 2nd thing to understand is that the language of this bill resembles the SAFE Bet Act, a federal piece of legislation introduced 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 regulation.

So, while this is presently a Massachusetts expense, it's most likely to affect other states that offer managed sports betting.

A closer look at SD 1657

Tax

Starting with the tax rate boost, bringing sports betting to 51% has been a target for Sen. Keenan before. Keenan proposed a tax boost at the last legislative session, but it was turned down. This boost would have come in the state's budget plan expense.

Only 3 markets have tax rates of 51%, the greatest in the country: New York, Rhode Island, and New Hampshire. At 20%, Massachusetts currently ranks 6th highest.

Prohibiting live betting and prop betting

The procedure restricts in-play (live sports betting) or prop sports betting. Only straight wagers would be permitted, limiting sportsbooks to providing just moneyline, spread, and totals.

While Massachusetts and other markets have restrictions on college sports betting, this would impact even expert sporting events.

The bill also seeks to add bonus offers and same-game parlays to the category of "unfair and misleading practices." Sportsbooks favour same-game parlays due to their high "hold" percentage, the quantity of money they keep off each $1 bet.

Player Limits

SD 1657 likewise aims to develop mandatory daily and monthly limits for bettors. Bettors could not wager more than $1,000 a day and $10,000 a month without an 'affordability assessment' which involves examining savings account. A player can not wager more than 15% of the amount in their account.

Massachusetts would end up being the very first market to need a price evaluation on bettors.

Advertising constraints

Keenan also wants to get rid of marketing throughout televised sporting events. The procedure would forbid sportsbooks from running ads during video games. The Massachusetts Gaming Commission has looked into creating a restriction on in-game advertisements before. However, this did not go through as national television offers make this tough to enforce.

Will the measure pass?

The step is severe in its changes to the sports betting industry in Massachusetts. Banning prop sports betting and increasing the sports betting tax rate will likely lead to pushback from local sportsbooks and market advocates.

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

He would need to convince the other senators who did not support his effort before to alter their minds. If and when the Senate discusses this step, it is impossible to inform how it will be received.