House Tax Panel Urged to Legalize Online Gambling

[SpartanDem]

Source: WSJ

WASHINGTON—Supporters of legalizing Internet gambling told a House panel Wednesday that to do so would raise $42 billion for the federal government over the next 10 years.

Under companion bills from Rep. Barney Frank (D., Mass.) and Jim McDermott (D., Wash.), most of that revenue would come from income taxes collected on individuals' winnings.

But Mr. McDermott's bill would also impose an 8% tax on online gambling deposits, paid by the operators of gaming websites.

"We are sending a multi-billion dollar industry offshore and underground. As a result, we are making tax criminals of Americans who can't declare their online winnings to the IRS," Mr. McDermott told the House Ways and Means Committee during a Wednesday hearing.

The bills would legalize and regulate online poker, but would continue a ban on some other forms of online gambling, including betting on professional sports.


Read more: http://online.wsj.com/article/SB10001424052748703691804575254550884364276.html?mod=WSJ_latestheadlines

[elias49]

1. Why not just (finally) legalize marijuana

and tax it. I confess that I don't know what kind of revenue a pot tax would generate, but $42 billion over 10 years isn't going to get this country out of debt. It's going to make a lot of poor people poorer.
At least legal weed would do some good!

[SpartanDem]

2. i say do both

[Travis_0004]

3. Agreed

There is no reason not to allow online gambling.

1. It exist already. You want to gamble online, you can do it now.
2. You can regulate it. If its in the USA, you can ensure it truly is fair.
3. Tax the corporation, tax the people who win the money.

I see no downside. I think gambling is stupid, and they won't get a dime of my money, but I don't need the government to hold my hand and tell me what I can and can not do.

[awoke_in_2003]

4. +1000

legalize and tax both. You aren't going to stop it (just look at Prohibition), may as well cash in. And with MJ, if it is legal, the price will go down :)