Recent Massachusetts Sports Betting Proposal Includes Massive Tax Increase & Restriction on Real-Time Betting

Massachusetts sports betting might look completely various if a brand-new expense proposed in the Senate achieves success. And if history is any indication, controlled sports betting in other states could likewise alter considerably.

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 ban on live betting (in-game wagering) and prop bets.

The main thing to remember is that Massachusetts has been at the leading edge of stricter sports betting policies. The 2nd thing to know is that the language of this bill is similar to the SAFE Bet Act, a federal piece of legislation presented in 2024.

This costs 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 costs, it’s most likely to impact other states that use regulated sports betting.

A closer look at SD 1657

Tax

Starting with the tax rate increase, bringing sports betting to 51% has been a target for Sen. Keenan before. Keenan proposed a tax boost at the last legislative session, however it was declined. This increase would have can be found 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 currently ranks 6th highest.

Banning live betting and prop betting

The procedure prohibits in-play (live betting) or prop betting. Only straight wagers would be enabled, limiting sportsbooks to providing just moneyline, spread, and overalls.

While Massachusetts and other markets have limitations on collegiate betting, this would impact even expert sporting events.

The bill also looks for to add perks and same-game parlays to the classification of “unfair and misleading practices.” Sportsbooks favour same-game parlays due to their high “hold” portion, the amount of cash they deflect each $1 bet.

Gamer Limits

SD 1657 also intends to produce compulsory daily and month-to-month limits for bettors. Bettors could not wager more than $1,000 a day and $10,000 a month without an ‘affordability evaluation’ which involves inspecting bank accounts. A gamer can not wager more than 15% of the amount in their account.

Massachusetts would end up being the first market to need an affordability evaluation on bettors.

Advertising constraints

Keenan likewise wants to get rid of advertising throughout telecasted sporting occasions. The step would restrict sportsbooks from running advertisements throughout games. The Massachusetts Gaming Commission has checked out creating a ban on in-game ads before. Nevertheless, this did not go through as national TV offers make this hard to implement.

Will the step pass?

The step is harsh in its modifications to the sports betting industry in Massachusetts. Banning prop betting and increasing the sports betting tax rate will likely result in pushback from local sportsbooks and market supporters.

Because of this, the measure will likely be battled in the Senate and your home 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 effort before to change their minds. If and when the Senate discusses this step, it is impossible to inform how it will be gotten.