Louisiana lawmakers deliberate amended betting tax proposals

Stefanski’s House Bill 688, which appears to replace his previous proposal HB 628, sets a $250,000 application fee for a sports betting licence. 

A $500,000 fee would then be payable upon receipt of the five-year licence itself. 

For platform providers, third parties that are contracted to operate sports betting on behalf of the licenceholders, a $100,000 application fee will be followed by a $250,000 licence fee. 

Service providers, meanwhile, are to pay $10,000 for their application under Stefanski’s bill, then a further $12,500 should they secure a permit. Sports wagering distributors, which appears to refer to affiliates, will be charged a $5,000 application fee, followed by $2,500 for their certification. 

All fees generated would be paid into the Sports Wagering Enforcement Fund, with this money to be used invested similar to that allocated to the Louisiana General Fund. 

Sports betting licensees would then be subject to different tax rates for retail and mobile betting. For in-person wagering, a 10% levy would be applied to gross revenue, while this would almost double, to 18%, for mobile. 

Tax revenue will be deposited in the state’s Bond Security and Redemption Fund.