U.S. Rep. Guy Reschenthaler (R-PA) this week reintroduced legislation to repeal the so-called handle tax, a 0.25% excise tax placed on legal sports bets that has become irrelevant due to widespread legalized sports wagering.
The congressman, co-chair of the bipartisan Congressional Gaming Caucus, unveiled the bill, the Discriminatory Gaming Tax Repeal Act of 2025, H.R. 1440, with fellow caucus co-chair U.S. Rep. Dina Titus (D-NV). U.S. Rep. Mike Kelly (R-PA) also cosponsored the bill.
The legislation, if enacted, would ensure the gaming industry supports good-paying jobs and promotes economic growth in southwestern Pennsylvania and across the nation, Rep. Reschenthaler said.
“The U.S. gaming industry provides over one million jobs, including over 33,000 jobs in Pennsylvania, and generates more than $70 billion for state and local governments throughout the country,” he said. “Unfortunately, outdated tax codes and burdensome regulations penalize legal operators and incentivize illegal activity.”
Rep. Titus explained that illegal sportsbooks have an unfair advantage because they do not pay the 0.25% sports handle tax and the accompanying $50 per head tax on sportsbook employees.
“It makes no sense to give the illegal market an edge over legal sports books with a tax the federal government does not even track,” Rep. Titus added.
Pennsylvania generated $2.3 billion in direct gaming tax revenue in 2023, the highest amount in the nation, Rep. Reschenthaler’s office stated, citing data from the American Gaming Association. The state also brought in $5.86 billion in total gaming revenue in 2023, ranking it second in the country.
Reps. Reschenthaler and Titus also introduced similar legislation in the 117th and 118th Congress.
“I’m proud to join Gaming Caucus Co-Chair Titus in reintroducing this bipartisan legislation, and I urge our colleagues in the House to support it,” Rep. Reschenthaler said.