Todd Haushalter, Chief Product Officer at Evolution, has urged US online betting and gaming regulators to issue fair taxes in order to help the igaming market reach its full potential.
Haushalter has argued that online gaming regulators need to take a page out of the land-based sector’s playbook and only implement low taxes on operators.
“’Feverish’ or ‘frenzy’ are the first words that come to mind when it comes to describing the market as things stand. The excitement around the business is incredibly high and it reminds me of the early days of the .com boom,” Haushalter said.
“Everyone knows that online gaming will be massive in America since this is the world’s largest gaming market already. As a result of this, we are seeing many companies investing heavily today to secure their place in the future of online gaming.”
A low tax rate has allowed land-based markets to thrive, and Haushalter stated that keeping the online tax rate low will allow suppliers to provide a ‘great offering’ while also staying innovative in a competitive environment.
“What is needed now is the same thing that made the great land-based markets flourish – low gaming taxes and a great offering,” Haushalter added.
“Nevada and New Jersey have the lowest gaming tax rates in America and inevitably have seen the most investment. They also offer everything a tourist could ask for. In online gaming that means offering the full range of sports betting, all types of slots, skill-based games, table games, and of course Live Casino with its innovative game shows.”
The Congressional Gaming Caucus introduced the bipartisan legislation earlier this month that would see the antiquated slot tax threshold raised for the first time since 1977. This legislation has received support from the American Gaming Association (AGA).
The AGA’s Senior Director of Government Relations, Alex Costello, recently spoke to SBC about how an increase could impact players and casinos, why it has taken so long for it to be adjusted for inflation since 1977, and how it can streamline “unnecessary administrative burdens” on casino operators.
