If passed, the idea could bring digital lottery and online casino gambling to Indiana citizens by September.
A plan to expand Indiana’s gambling activities, including online casino gambling and a digital lottery, is gaining traction.
New push for online casino gambling legalization in Indiana
The House Public Policy Committee adopted House Bill 1432 (HB 1432) on Tuesday by a vote of 9-2. Despite the fact that the vote was not unanimous, the bill received support from both Republicans and Democrats after three hours of debate. Following the Committee’s approval, HB 1432 advanced to the full House for further consideration.
If lawmakers approve HB 1432, iGaming and online lottery services might be accessible to Indiana customers as early as September 1, 2025. According to the proposal, internet gambling licensees would be liable to a 26% tax on their revenues.
The aforementioned tax rate would apply until July 2026, after which various charges ranging from 22% to 30% would be enforced dependent on each iGaming operator’s income.
Under HB 1432, only horse racetracks and casinos would be eligible to apply for an online gambling license. The Indiana Gaming Commission will regulate the activity and guarantee that licensees adhere to the existing regulatory framework.
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Notably, the initiative intends to establish a new gambling addiction and responsible gaming program. This will support the state’s current efforts to combat gambling damage through therapy and research.
Each licensee would be charged a $250,000 yearly fee, which would benefit the gambling program. The idea limits the overall contributions of any iGaming operator to $2 million per year. The Hoosier Lottery, the state lottery operator, will also contribute to the responsible gaming initiative by allocating $500,000 per year.
Supporters of the bill claim that it will bring benefits, but opponents disagree
Rep. Ethan Manning, the iGaming proposal’s author, estimates that internet gambling, digital lottery, and a potential rise in sports betting tax may generate more than $300 million in additional income for Indiana each year, according to the Indiana Capital Chronicle.
“How can we leverage the assets we already have, take advantage of new opportunities, benefit the greatest number of people while also protecting some of our most vulnerable?” he said during a recent discussion of the plan.
However, not everyone supports the idea, with some saying that expanding gaming could lead to even more harm.
Brianne Doura-Schawohl, a problem gambling expert with the Campaign for Fairer Gambling, projected that online gaming would “exacerbate” gambling addictions across the state. She cited the ease of access and round-the-clock availability as one of the most serious risks of iGaming.
Doura-Schawohl went further: “The products that you’re discussing in this bill are thought by researchers to be 10 times more addictive and dangerous than other gambling products.” Finally, the expert stated that the true cost of the proposition is “the human life.”
While the plan had bipartisan support, it has failed to acquire traction, and its future, for the moment, is uncertain. Still, if lawmakers agree and pass HB 1432, Indiana residents may be able to participate in iGaming and digital lottery activities this September.
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