Professional gamblers say a tax change tucked into the One Big Beautiful Bill could wipe out their profits and drive them toward offshore betting sites — threatening an industry that reportedly raked in nearly $115 billion last year.
The Senate-passed act includes a provision limiting gamblers’ ability to write off losses to 90% of winnings, meaning that if they break even, gamblers would still owe taxes.
Under current rules, players can deduct losses up to their winnings, letting them avoid taxes if they come out even.
Poker pro Phil Galfond warned the change would force players to pay taxes on “phantom” winnings, hitting high-stakes professionals who already walk a thin line between profit and loss.
“Now we would pay as if we won $5.2 million, minus 90% of $5 million, which is $4.5 million for a fake net of $700,000,” Mr. Galfond explained in a video on X. “So you