Categories: General

Ohio Gambling Committee Says $650 Million Gambling Freebies Went Untaxed

The casino industry in America is constantly under the scanner of both state and federal authorities as casinos have always been the target of criminals and unscrupulous individuals who are always looking for a legal loophole to leverage to their advantage. As a result the state gaming laws are extensive and robust to ensure that casinos run an operation that is clean and one that protects the interests of the community.

A Joint Committee on Gaming and Wagering in Ohio recently decided to review the casino industry in the state to see if all protocols were being followed and if there were any changes to be recommended to make the industry event better. The report highlighted a number of points but the biggest concern raised by the committee was based on the amount of freebies that casinos have given away that have gone under the tax radar.

Ohio spends a significant portion of its gaming tax revenue generated from the racinos and casinos on its education system. The committee stated that casinos in Ohio have given away over $650 million in freebies since 2012 to customers to encourage them to play at the casinos but these freebies were not taxed and hence had a direct impact on the finances of the local government and the development of educational institutes in the state. The committee stated that these policies must be reviewed quickly to ensure that state does not miss out on further gambling tax revenue and continues to protect the best interests of schools in the state.

While casinos have claimed that giving out freebies helps in increasing the overall spending of customer and thereby taxable income at the casinos, the committee stated that Ohio casinos were unable to provide any data related to the direct impact that freebies had on the overall revenue generated by the casino. As a result, the committee suggested that the tax exemptions being provided by the state can be reconsidered.

These recommendations have not gone down well with the Ohio casino industry. In a statement, Bob Tenenbaum, a representative of Penn National Gaming said

Any change in the current promotional tax credit would, as we told the committee, negatively impact casino revenues, hinder the growth of the industry in Ohio, and make it more difficult for Ohio gaming facilities to compete with those in neighboring states.

Paul Butcher

Hi, I am the Chief Editor of top10casinowebsites.net, this site is dedicated to all thing casino. I have been working around the casino industry for the last 12 years, with different brands. The main purpose of this site is to keep you informed with the latest news and offers around

Share
Published by
Paul Butcher

Recent Posts

LV Sands, Concerned About Online Competition Amid Plan to Build $6bn Casino

Summary: Las Vegas Sands chairman and CEO Rob Goldstein is concerned about the impact of…

4 weeks ago

Biloxi Casino Plans Advance as MGC Considers Two Venues

Summary: Tullis Gardens Hotel and the Tivoli development are in the works. The casinos would…

1 month ago

Rio Hotel & Casino Finishes Phase One of Massive Property Renovation Project

Summary: Rio Hotel & Casino has completed phase one of its multi-year property-wide renovation project.…

2 months ago

Industry Heavyweight Execs Talk Tech Future at TribalNet Conference & Tradeshow

Summary: Monday’s TribalNet Conference & Tradeshow brought together gaming industry executives who discussed the future…

2 months ago

Nevada Regulators Propose Solution for Armed Casino Security Shortage

Summary: The Nevada Gaming Control Board addressed the shortage of armed casino security following the…

2 months ago

Venetian Waiting for Final Approval for $550m Dividend Distribution

Summary: The Venetian in Las Vegas is getting ready for a massive dividend distribution. The…

4 months ago