Latest Massachusetts Sports Betting Bill Contains Massive Tax Increase and Prohibition on Real-Time Betting

Massachusetts sports betting might look completely different if a new bill proposed in the Senate succeeds. And if history is any indication, regulated 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 current sports betting tax rate from 20% to 51%. In Addition, Sen. Keenan requires a complete ban on live sports betting (in-game betting) and prop bets.

The main point to remember is that Massachusetts has actually been at the forefront of more stringent sports betting regulations. The second thing to understand is that the language of this expense resembles the SAFE Bet Act, a federal piece of legislation introduced in 2024.

This expense was presented not long after previous Massachusetts Governor and existing NCAA president Charlie Baker testified in front of the Senate in a meeting on sports betting regulation.

So, while this is currently a Massachusetts bill, it’s most likely to impact other states that offer controlled sports betting.

A closer look at SD 1657

Taxation

Starting with the tax rate increase, bringing sports betting to 51% has actually been a target for Sen. Keenan before. Keenan proposed a tax increase at the last legislative session, but it was declined. This boost would have can be found in the state’s budget bill.

Only three markets have tax rates of 51%, the greatest in the country: New York, Rhode Island, and New Hampshire. At 20%, Massachusetts presently ranks sixth highest.

Prohibiting live betting and prop betting

The procedure prohibits in-play (live sports betting) or prop betting. Just straight wagers would be enabled, restricting sportsbooks to offering only moneyline, spread, and overalls.

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

The expense likewise looks for to include bonus offers and same-game parlays to the category of “unjust and misleading practices.” Sportsbooks favour same-game parlays due to their high “hold” portion, the quantity of money they keep off each $1 wagered.

Player Limits

SD 1657 also aims to create necessary daily and regular monthly limitations for bettors. Bettors could not wager more than $1,000 a day and $10,000 a month without an ‘price assessment’ which involves examining checking 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 cost evaluation on bettors.

Advertising constraints

Keenan also wishes to remove marketing during telecasted sporting occasions. The step would prohibit sportsbooks from running ads during games. The Massachusetts Gaming Commission has actually checked out creating a restriction on in-game ads before. However, this did not go through as national TV offers make this difficult to enforce.

Will the step pass?

The procedure is extreme in its changes 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 industry advocates.

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

He would have to persuade the other who did not support his effort before to alter their minds. If and when the Senate discusses this measure, it is difficult to tell how it will be received.