IA
Iowa House Bill HSB719

Iowa 2023-2024 Regular Session

Iowa House Bill HSB719

Introduced
2/20/24  
Introduced
2/20/24  

Caption

A bill for an act relating to tax rates on receipts from gambling games.

Impact

The implementation of HSB719 will result in a significant lowering of tax burdens on licensed gambling entities, which supporters argue will enhance profitability and stimulate economic growth in the regions where these businesses operate. It is anticipated that such fiscal incentives may lead to increased revenue generation both for the establishments and for the state's treasury, particularly in funds allocated for community grants, tourism marketing, and infrastructure improvements. Notably, the reductions in tax rates may also influence competitive dynamics between different gambling entities within Iowa.

Summary

House Study Bill 719 addresses tax rates on adjusted gross receipts from gambling activities, specifically targeting excursion gambling boats and racetrack enclosures. The bill proposes to reduce the tax rates imposed on these entities over several fiscal years, with adjustments scheduled to take place starting from July 2024. For excursion gambling boats, the tax rate will decrease initially from 22% to 21% in the fiscal year 2024-2025, continuing to decline to 20% in fiscal year 2025-2026 and further down to 19% starting from 2026-2027. Similarly, the tax rates for racetrack enclosures conducting gambling games will also face reductions under various conditions outlined within the bill.

Contention

There are concerns regarding the potential ramifications of HSB719 on state revenues and the social impacts of gambling. Critics of the bill suggest that lowering the tax rates could diminish tax funds available for critical state programs, particularly those aimed at addressing gambling addiction and related social issues. Additionally, opponents argue that such tax reductions could favor specific sectors and create an uneven playing field, particularly impacting local economies that are not heavily reliant on gambling revenues. Debates around this bill may see contention between economic growth objectives and responsible fiscal management aimed at safeguarding social welfare.

Latest IA HSB719 Activity

View All Events: IA 2023-2024 Regular Session HSB719

Companion Bills

No companion bills found.

Previously Filed As

IA SF625

A bill for an act relating to gambling regulation, including enforcement, license fees, tax rates, and the use of associated revenue, making appropriations, and including effective date provisions. (Formerly SF 613, SSB 1157.)

IA HSB223

A bill for an act providing for advance deposit wagering on gambling games, including a tax on net receipts, and providing penalties.

IA SSB1157

A bill for an act concerning the regulation and support of leisure activities, including by providing for gambling games and sports wagering enforcement, license fees, tax rates, and the use of associated revenue, establishing the Iowa major events and tourism program and fund, modifying the sports tourism marketing and infrastructure program, making appropriations, and including effective date provisions.(See SF 613, SF 625.)

IA HF144

A bill for an act concerning the licensing and regulation of gambling games, including a moratorium on the issuance of new licenses, and including effective date and retroactive applicability provisions. (Formerly HSB 80.)

IA SF613

A bill for an act concerning the regulation and support of leisure activities, including by providing for gambling enforcement, license fees, tax rates, and the use of associated revenue, establishing the Iowa major events and tourism program and fund, modifying the sports tourism marketing and infrastructure program, making appropriations, and including effective date provisions.(Formerly SSB 1157; See SF 625.)

IA HSB80

A bill for an act concerning the licensing and regulation of gambling games, including a moratorium on the issuance of new licenses, providing fees, and including effective date and retroactive applicability provisions.(See HF 144.)

IA SSB1069

A bill for an act concerning the licensing and regulation of gambling games, including a moratorium on the issuance of new licenses, and including effective date and retroactive applicability provisions.(See SF 173.)

IA SF173

A bill for an act concerning the licensing and regulation of gambling games, including a moratorium on the issuance of new licenses, and including effective date and retroactive applicability provisions.(Formerly SSB 1069.)

IA HSB227

A bill for an act providing for advance deposit wagering on gambling games.

IA SF2932

Taxes imposed on all lawful gambling receipts repeal

Similar Bills

TX HB2375

Relating to the authorization of racetrack extension locations, providing rulemaking authority to the commission and comptroller, and providing for administrative penalties.

AZ SB1260

Dog racing; simulcast wagering; prohibition

IA HF144

A bill for an act concerning the licensing and regulation of gambling games, including a moratorium on the issuance of new licenses, and including effective date and retroactive applicability provisions. (Formerly HSB 80.)

IA SF173

A bill for an act concerning the licensing and regulation of gambling games, including a moratorium on the issuance of new licenses, and including effective date and retroactive applicability provisions.(Formerly SSB 1069.)

CA SB274

Administration of taxes: notice of deficiency assessment.

NH SB112

Relative to pari-mutuel pools and historic horse racing.

IA SSB1069

A bill for an act concerning the licensing and regulation of gambling games, including a moratorium on the issuance of new licenses, and including effective date and retroactive applicability provisions.(See SF 173.)

IA SF625

A bill for an act relating to gambling regulation, including enforcement, license fees, tax rates, and the use of associated revenue, making appropriations, and including effective date provisions. (Formerly SF 613, SSB 1157.)