Archive for January, 2012

Back in the summer of 2011, the Internet Gambling Regulation and Tax Enforcement Act (H.R.2230), which is a federal bill, was introduced and referred to the Committee by Rep. Jim McDermott.

If it the bill gets passed (which is currently still in the early stages of the legislative process), it will not receive a warm welcome because of the steep taxation that will affect both the operator and the player. Most bills do not make it past the committee stage but if it does, it appears as though players will certainly not be able to gain from it. In fact, quite the opposite will happen.

This bill will modify the 1986 Internal Revenue Code and is solely aimed at taxing and regulating Internet Gambling.

Operators of online gambling portals will still have to apply for a separate gaming license for the particular US state that they seek to operate their business from. The legislation will mean that operators are obliged to collect tax details and data from their registered users and details of all of their cash wagers. This information that they collect will then have to be relayed to auditors.

Related Blogs:
--The Horserace Betting Levy Board - a major figure in the betting industry

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Gambling online is the same as gambling in real life, but for many organisations the worrying thing is that the internet now meant that anyone could have a flutter at any time of the day. This could breed a new generation of addicts and possibly lead people towards the dark side of gambling, which can result in the destruction of families. But don’t be mistaken, this is not why gambling was banned.

People can argue their case why online gambling was banned in the first place and most of these reasons (whether social or political) will hold a valid point. The bottom line is that the reason gambling was banned in the first place was NOT due to social or ethical reasons as much as we would like to believe.

We mustn’t forget that this is a multi-billion dollar industry and whatever laws the governments may put into place to try and halt gambling activity, operators and individuals will always find a way around them. The bottom line is that there is no stopping gambling in any way shape or form, but it can be regulated.

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