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New Gambling Law Caps Loss Deductions, Raises Tax Risks

7/8/2025

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Summary

Story summary

Beginning in 2026, the One Big Beautiful Bill Act will cap gamblers' loss deductions at 90%, affecting both pros and amateurs alike. This shift could escalate tax burdens and complicate compliance, posing risks to the gambling industry. States will need to brace for intensified scrutiny of gambling income as taxpayers navigate these new challenges.

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Story summary

Beginning in 2026, the One Big Beautiful Bill Act will cap gamblers' loss deductions at 90%, affecting both pros and amateurs alike. This shift could escalate tax burdens and complicate compliance, posing risks to the gambling industry. States will need to brace for intensified scrutiny of gambling income as taxpayers navigate these new challenges.