FanDuel Mobilizes Illinois Customers Against Proposed Sports Betting Tax Hike
FanDuel Sportsbook is actively campaigning against a proposed increase in the sports betting tax rate in Illinois, urging its customers to contact state legislators.
The move follows Governor JB Pritzker’s budget proposal, which includes a tax hike from the current 15% to 35% on sports betting revenues.
FanDuel’s Call to Action
As reported by Legal Sports Report, over the weekend, FanDuel sent an alert through its app to Illinois customers, calling for action against the tax increase. The message, captured in a screenshot by PlayIllinois, implores bettors to voice their opposition to the governor and state representatives.
“STOP THE SPORTS BETTING TAX HIKE! We NEED your HELP! The Illinois legislature wants to MASSIVELY increase the tax rate on your favorite form of entertainment—placing bets on the teams, players, and games that you love!” the alert stated.
FanDuel’s Perspective on Tax Increases
FanDuel CEO Amy Howe has expressed concerns about the negative impacts of high taxation on the sports betting industry. In an interview with Legal Sports Report, Howe explained that while state revenue from sports betting is important, excessively high taxes could stifle competition and drive consumers towards unregulated, black-market alternatives.
“Our government affairs teams do a really good job of trying to educate the regulators on how to get that balance right,” Howe said. She also underlined the need for a balanced approach that considers the interests of both the state and the consumers.
According to Howe, high tax rates could have unintended consequences, including reducing the competitiveness of legal sports betting operators and potentially pushing bettors to seek out unregulated options.
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