In what could only be succinctly described as shocking, Illinois state senators overwhelmingly approved online gambling and daily fantasy sports legislation in a 42-10 vote.

HB 479, as amended, would create the Internet Gaming Act and would allow both online poker and casino products. The bill provided that online licenses would only be available to the state’s licensed casino and horseracing operators. The bill also provided specifics on the amount of the applicant’s deposit for future tax obligations and the tax rates to their annual revenue.

The bill would also create the Fantasy Sports Contest Act (FSCA). The FSCA states that DFS operators would pay 5% tax on the first $1m of revenue, 7.5% on revenue between $1m and $3m, 10% on revenue between $3m and $8m, and 15% of revenue over $8m. It also stated that DFS license application fees would be based on revenue.

The House’s stance on online gambling is still up for debate. However, Speaker Michael Madigan is known to be against it. One could only hope that the members of the House will see the benefits of the upfront fees that will be given by online gambling operators in plugging the expected budget deficit of the state.

It was a long time coming for Illinois to approve online gambling and daily fantasy sports legislation. Still, the bill’s fate on Illinois House of Representatives remains to be a whole different story.

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