The American Gaming Association has warned lawmakers about potential legislative errors when discussing sports betting in Massachusetts. [Image: Shutterstock.com]
Three areas of interest
The American Gaming Association (AGA), a national trade group representing the casino industry, has issued a warning to lawmakers about sports betting in Massachusetts.
College sports betting, reduce advertising restrictions, and impose justified tax rates
Among the points of interest are three main pillars: legalizing betting on college sports, reducing advertising restrictions, and imposing justified tax rates. All three areas of animal health and production law discussed come after a much different bill made its way through the Massachusetts home last year.
The AGA also stated that Massachusetts’ failure to adhere to its advice will hamper the state’s sports betting industry in the long run. Massachusetts is already facing stiff competition from New York and can’t help itself.
Dealing with college sports
The AGA stated that none of the 35 states with legal sports gambling have restricted betting on collegiate athletics. It also revealed that of the $57.7 billion that was wagered on organized sportsbooks in 2021, about 20% was on college events.
It has always been and always will be a huge public demand for team sports betting”
“There has always been and will continue to be a huge public demand for team sports betting,” said the Department of Animal Production and Health. “States have appropriately recognized that the real public policy question is not whether team sports betting will occur, but whether it should take place through legal or illegal channels.”
Massachusetts has a large number of institutions of higher education, including Harvard University, the Massachusetts Institute of Technology, and Boston College, among others. Although schools are very popular, not many of them are supporters of college sports betting.
A group of seven Massachusetts-based institutions issued a warning to state lawmakers two years ago, citing “unnecessary and unacceptable risks” as sufficient reasons to rule against the new gambling measures.
Advertising and tax problems
The modern world is all about vision, whether it’s online, on television, or in traditional real estate.
The AGA has warned Massachusetts that if it doesn’t fully embrace gambling ads, it could be shooting itself.
“Competing states are already advertising in Massachusetts without restrictions, which will add to the confusion,” the Department of Animal Production and Health said.
The group also revealed that internet searches in the state for illegal sportsbooks increased 22% in January and February 2022.
The tax rate is 35% for online sports bets and 20% for retail
Massachusetts’ steep tax rate of 35% on online sports bets and 20% for retail also raised eyebrows.
“Sports betting is a low-margin business and will not be viable in the long-run if a burdensome tax framework is adopted,” the AGA said.
Both houses are seeking a dissolution before the Massachusetts legislature expires on July 31. The House has already rejected the Senate-based plan.