House Bill No. by Representative Mena proposes significant changes to the taxation of sports wagering in Louisiana. The bill amends R.S. 27:625 and R.S. 47:9105 to establish a progressive tax rate on net gaming proceeds from sports wagering, which will now apply to all wagering conducted both onsite at licensed establishments and through mobile applications or websites. The new tax rates are structured as follows: 20% for proceeds up to $30 million, 25% for proceeds between $30 million and $50 million, 30% for proceeds between $50 million and $100 million, 35% for proceeds between $100 million and $200 million, and 40% for proceeds exceeding $200 million. This replaces the previous flat tax rates of 10% and 15% for onsite and electronic wagering, respectively.

Additionally, the bill increases the percentage of tax revenue dedicated to the Louisiana Early Childhood Education Fund from 25% to 40%, while also raising the cap on this allocation from $20 million to $30 million. The legislation aims to enhance funding for early childhood education through increased revenue from sports wagering taxes, reflecting a broader commitment to supporting educational initiatives in the state.

Statutes affected:
HB587 Original: