New Support for the Internet Gambling Regulation and Enforcement Act

[The Judge]

Chairman of the House Democratic Policy Committee Endorses U.S. Regulation of Internet Gambling
By Safe and Secure Internet Gambling Initiative
SunHerald.com

WASHINGTON, Feb. 28 -- Congressman George Miller (D-CA), chairman of the House Democratic Policy Committee and the House Education and Labor Committee, has signed on as a co-sponsor of the Internet Gambling Regulation and Enforcement Act. The legislation, introduced last year by Congressman Barney Frank (D-MA), would allow licensed operators to provide Internet gambling services in the United States.

As a member of the Democratic Leadership and chairman of the House Democratic Policy Committee, Congressman Miller is responsible for helping Democrats to develop and articulate a wide range of policies of benefit to all Americans. He has a long record of important legislative achievements and is a leading advocate in Congress on education, labor, the economy, and the environment.

"The endorsement of this key legislation by Congressman Miller, one of the most influential leaders on Capitol Hill, further demonstrates the growing support for regulated Internet gambling," said Jeffrey Sandman, spokesperson for the Safe and Secure Internet Gambling Initiative. "We expect continuing momentum in Congress as more people realize that the current approach to prohibit Internet gambling is a failure. Rather than leave consumers vulnerable in an underground, uncontrolled marketplace, regulation of Internet gambling would protect consumers and generate billions in revenue needed for critical government programs."

The Internet Gambling Regulation and Enforcement Act (H.R. 2046) and the Internet Gambling Regulation and Tax Enforcement Act (H.R. 2607), a companion bill introduced by Representative Jim McDermott (D-WA), would regulate and tax Internet gambling activity. Under the proposed legislation, each Internet gambling operator would be licensed by the Financial Crimes Enforcement Network (FinCEN) and required to ensure that the individual placing the bet or wager is physically located in a jurisdiction that permits a particular form of Internet gambling. The legislation would reinforce the rights of States to control what, if any, level of Internet gambling was permissible within their borders, including the ability to apply additional taxes, and to ensure that appropriate consumer protections and limitations were in place.

According to a tax revenue analysis prepared by PricewaterhouseCoopers, taxation of Internet gambling is expected to generate between $8.7 billion to $42.8 billion in federal revenues over its first ten years.

About Safe and Secure Internet Gambling Initiative
The Safe and Secure Internet Gambling Initiative promotes the freedom of individuals to gamble online with the proper safeguards to protect consumers and ensure the integrity of financial transactions. For more information on the Initiative, please visit www.safeandsecureig.org. The Web site provides a means by which individuals can register support for regulated Internet gambling with their elected representatives.

[captaincapper]

I wonder, if sports betting were regulated by the federal government would they take the tax off the winnings of each and every wager won? If so, the virtual juice would be so high that turning a profit wagering on sports "legally" would probably be as close to impossible as one could imagine. You would probably have to hit at a 60% clip long-term (or better) just to break even. I'm also thinking that not only would sports betting probably be unprofitable in the long term (for the handicapper) it would probably also lead to the fed cracking down on gamblers who don't use the "legalized" books. If that were the case, it could very well be a double-edged sword indeed.

[SecretStash]

thanks for keeping us up to date on this stuff judge....i knwo one day when they finally have the verdict in the one case that legalizes gambling nationwide u will be there to hear it first.

keep up the good work bro

-stash

[Wellahiya]

US couldnt charge or tax any online casino wich operated from belize, isle of man or whatever... so they forbid and said, it's protecting 'internet gamblers'... now they clear the way to take taxes from teh winnings (of the casinos that will be allowed to operate in the US)

they tried the same in germany at 1/1/2008... and the bookies just said: 'do whatever you want, we will just ignore.' that was the end of story... none of my cashouts got charged or was reported to anyone.

i mean, imagine the US taking taxes from the winnings and the government or whoever putting the bookies in charge to cut the taxes off the winnings or cashouts... that would mean: the bookies rob their own customers or cut of their own legs

if it's (nearly) impossible for their costumers (us) to make profit with betting Football or whatever, we just don't do it anymore or do it at some 'illegal' (from the US governments POV) bookie... wich will be (from teh US government document) an insecure bookie...

[The Judge]

Originally Posted by captaincapper

I wonder, if sports betting were regulated by the federal government would they take the tax off the winnings of each and every wager won?

The proposed bill would levy a 2% tax on all deposits made with a licensed internet gambling portal.


The following is an excerpt from the Internet Gambling Regulation and Tax Enforcement Act (H.R. 2607)

(A) LICENSE FEE
(i) IN GENERAL- Each licensee shall be required to pay to the Director during each 30-day period of operation a license fee of 2 percent of all funds deposited with or on behalf of the licensee by any person for the purpose of placing a bet during the preceding 30-day period.

ii) DISPOSITION- Amounts collected by the Director as license fees shall be deposited in the general fund of the Treasury and treated as revenue.

[d107]

Thanks for the post the judge. It sounds good but can't see it happening