Fantasy Sports Taxation Plan Heads for Louisiana House
Fans of fantasy sports in Louisiana you are one step closer to being able to lose your hard-earned money to total strangers instead of just having to fork over your cash to friends, family, and coworkers. Legislation that would make playing fantasy sports online, legal, and most importantly taxable is now headed for the Louisiana House floor for debate.
Actually 47 parishes in the state have approved cash prize based online fantasy sports gaming. The only slowdown in getting the party started with sites like FanDuel and DraftKings has been how the state will take its share of the proceeds. Yeah, they've got to figure out how to tax it before they'll let us play.
The legislation that passed out of committee yesterday sets an eight percent tax rate on net revenue for online fantasy sports play. The legislation also mandates that the funds generated from this tax be used exclusively for early childhood education.
John Stefanski of Crowley is the representative that is sponsoring the legislation and he told the Louisiana Radio Network about the anticipated proceeds from online fantasy sports in the state.
It is a small amount of money but I know that early childhood has something that the body has spoken about being a priority going forward.
Stefanski estimates the tax revenue from fantasy sports will be about $365,000 annually. He also suggested that should his legislation clear the House and make it to the Governor's desk for his signature legal fantasy sports wagering online could begin as early as this fall in the state.