Internet Gambling Regulation and Tax Enforcement Act Introduced Today
Written by Thomas Jensen
Thu, 7 Jun 2007
Category general
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The Internet Gambling Regulation and Tax Enforcement Act was introduced today by Congressman Jim McDermott (D-WA). This new piece of legislation from congressman McDermott will function as a companion bill to the Internet Gambling Regulation and Enforcement Act, which was introduced last month by Barney Frank.
The new bill would create a taxation authority for internet gambling companies to be licensed under the recently introduced Internet Gambling Regulation and Enforcement Act (H.R. 2046). Frank’s attempts to establish a licensing and enforcement framework for regulated Internet gambling in the U.S.
Under the licensing legislation, each Internet gambling operator licensed by the Financial Crimes Enforcement Network (FinCEN) would be required to pay a fee of two percent of all funds deposited by any person placing a bet. The license fee would be paid solely by the Internet gambling operator and would not be deducted from the deposit of the person placing a bet. Licensed operators would also be required to ensure the collection of applicable federal and state taxes from licensees and from individual gamblers.
Congressman McDermott's legislation is expected to generate between $6 billion and $25 billion in revenues for the U.S. Treasury in the first five years of enactment.
Point-Spreads.com is very encouraged by all the action taking place up in Washington this week and welcomes any efforts to regulate Internet gambling.
