Evolution CPO calls for “sensible” tax rates to support US igaming growth
Evolution’s chief product officer Todd Haushalter has appealed for regulators across the US to implement fair taxes on igaming to allow the market to reach its maximum potential.
Haushalter said the US could become the leading igaming market in the world, but only if regulators ensure taxation levels do not become prohibitive.
This, he said, would help free up suppliers to innovate and serve players with a wider range of igaming products including online casino and internet-based sports betting.
Haushalter added states have the ability to set more “sensible” tax rates. He highlighted how Nevada’s tax rate on land-based casinos is set at 6.75% of gross gaming revenue (GGR), helping establish the state as one of leading markets in the US, whereas in New York, sports betting is taxed at a rate of 51% of GGR.
“’Feverish’ or ‘frenzy’ are the first words that come to mind when it comes to describing the market as things stand,” Haushalter said. “The excitement around the business is incredibly high and it reminds me of the early days of the .com boom.
“Everyone knows that online gaming will be massive in America, since this is the world’s largest gaming market already. As a result of this, we are seeing many companies investing heavily today to secure their place in the future of online gaming.
“What is needed now is the same thing that made the great land-based markets flourish – low gaming taxes and a great offering. Nevada and New Jersey have the lowest gaming tax rates in America and inevitably have seen the most investment. They also offer everything a tourist could ask for.
“In online gaming that means offering the full range of sports betting, all types of slots, skill-based games, table games, and of course live casino with its innovative game shows.”