- Dina Titus has included the FAIR Guess Act within the protection spending invoice
- FAIR Guess would restore playing losses as much as 100% of winnings
- The One Massive Lovely Invoice decreased the deduction to 90%
US Rep. Dina Titus (D-NV) continues to advocate for gamblers within the nation’s capital with the Honest Accounting for Revenue Realized from Betting Earnings Taxation Act, or the FAIR Guess Act.
Nevada Congresswoman Dina Titus waves to Democratic supporters whereas campaigning for Hillary Clinton in Las Vegas on Feb. 19, 2016. Titus is spearheading an effort to revive the federal playing losses tax discount to 100% after Republicans decreased it to 90%. (Picture: Shutterstock)
Titus launched the federal invoice in July after Republicans handed President Donald Trump’s “One Massive Lovely Invoice.” A situation of the OBBB was that the 70-year bipartisan precept that 100% of playing losses will be deducted towards winnings could be decreased to 90% starting with the 2026 tax yr. Senate Republicans have been blamed for the discount.
The OBBB part was seemingly unbeknownst to many Republicans, as Titus’ FAIR Guess Act rapidly garnered many cosponsors on the opposite facet of the aisle. The laws has 10 cosponsors — 5 Republicans and 5 Democrats.
The invoice — Home Decision 4304 — stays within the Home Methods and Means Committee, the place Chair Jason Smith (R-MO) has pledged to return the playing loss deduction again to 100% earlier than it goes into impact subsequent yr. The FAIR Guess Act has but to obtain a committee vote.
Taking Issues Into Her Personal Arms
With the Home Methods and Means Committee seemingly dragging its toes on the FAIR Guess Act, Titus has determined to take the pork route and tie the playing invoice into Congress’ annual protection spending invoice.
The battle to revive the 100% playing loss tax deduction continues,” Titus wrote on X. “I’ve launched the FAIR Guess Act as an modification to the 2026 Nationwide Protection Authorization Act (NDAA).”
Every year, Congress should authorize the NDAA, which approves funding for the US navy and different crucial protection priorities. The 2026 NDAA allocation, as permitted by the Senate Armed Forces Committee, is $924.7 billion.
A lot of the cash — $878.7 billion — would go to the Division of Protection. The Division of Vitality would obtain $35.2 billion, and the remaining $10.8 billion could be put aside for “defense-related actions outdoors NDAA jurisdiction.”
Titus is searching for to make use of the protection spending measure to expedite the legalization of the FAIR Guess Act.
“I strongly encourage the Republicans to make this modification so as when it goes earlier than the Home Guidelines Committee upon our return to Congress subsequent month,” Titus stated.
What FAIR Guess Seeks
The FAIR Guess Act seeks to stop gamblers from paying federal taxes on earnings they didn’t truly internet. The OBBB decreased the playing loss deduction by 10%, that means an individual who received $10K enjoying slot machines through the yr but additionally misplaced $10K would nonetheless must pay taxes on $1,000.
The Joint Committee on Taxation estimates that the discount would generate $1.1 billion in new federal tax income over 10 years. That attainable profit — barely a drop within the federal authorities’s spending bucket — comes at an incredible danger to the authorized gaming trade, commerce group leaders say.
“The outcome creates an unfair precedent by taxing phantom earnings and uniquely penalizing a authorized, closely regulated exercise,” stated Invoice Miller, president of the American Gaming Affiliation.
