Potential Tax Increase For Gambling Due To Section 70114 of the "One Big Beautiful Bill Act"
As of July 2nd 2025, The "One Big Beautiful Bill Act" (H.R. 1) with SEC. 70114 passed the Senate and is headed to the House for final passage. Section 70114 only allows a 90% deduction for gambling losses, meaning there will be a direct impact to your sports betting profits. This is an extra tax on winning gamblers, and there is a limited window to try and stop it. A member of our discord community, @snppr212, created a how-to guide below to try and make it as simple as possible to contact your Representative.
NBC Sports: Senate’s version of “big, beautiful bill” may have ugly side for gamblers
Please take a few minutes to make your voice heard.
Step 1: Find Your Representative's Contact Information
Go to the official House of Representatives website: https://www.house.gov/representatives/find-your-representative enter your ZIP code to find your specific Representative. Their page will list their office phone numbers and a link to their email/contact form.
Step 2: Call Your Representative's Office (The Most Important Step)
Of all the actions you can take, a phone call is the most direct and impactful. Your goal is to be logged as a constituent who opposes SEC. 70114.Important: Phone lines will be jammed today with people calling about this bill. Don't be discouraged. Leaving a voicemail is good, but calling until you speak to a live staff member is better. Be persistent, be polite, and make your voice heard.
Phone Script:
"Hi, my name is [Your Name] and I'm a constituent from [Your City/Town, ZIP Code]. I'm calling to urge Representative [Representative's Last Name] to oppose Section 70114 of H.R. 1, the "One Big Beautiful Bill Act," when it returns to the House. This provision creates a new, unfair tax on wagering losses that will hurt everyday people and is a win for large casino corporations. SEC. 70114 would arbitrarily limit that deduction to just 90% of losses, meaning a citizen could break even for the year and still owe a significant amount of tax. I strongly urge the Representative to work to remove SEC. 70114 from the final bill. Thank you."
Step 3: Send a Personalized Email
Emailing is another great way to make your voice heard. Use the contact form on your Representative's website that you found in Step 1.
Subject: Please Oppose the Wagering Tax Hike in H.R. 1 (SEC. 70114)
Dear Representative [Representative's Last Name], My name is [Your Name], and I am a constituent writing to you from [Your City/Town, ZIP Code]. I am urging you to take action to remove a harmful provision, Section 70114, from H.R. 1, the "One Big Beautiful Bill Act," before it receives a final vote. This provision, titled "Extension and Modification of Limitation on Wagering Losses," fundamentally breaks how wagering is taxed. For decades, taxpayers have been able to deduct wagering losses up to the amount of their winnings, ensuring they are only taxed on their net profit. SEC. 70114 would arbitrarily limit that deduction to just 90% of losses, meaning a citizen could break even for the year and still owe a significant amount of tax.
[Optional: Add a personal sentence here, for example: "As someone who enjoys legal, regulated sports betting as a hobby, this change would unfairly penalize me and millions of others." or "I have friends who are professional poker players, and this provision threatens their ability to make a living in a legal profession."] This change is a bad deal for your constituents; a loss for the average joe and a win for the casino corporations. It unfairly punishes everyday Americans while benefiting large corporate interests. While I know there are many issues within this large piece of legislation, this specific provision will cause real financial harm to tens of thousands of your constituents. I ask that you please advocate for the complete removal of Section 70114 from the final version of H.R. 1.Thank you for your time and your consideration of this important issue.
Sincerely,[Your Name][Your Street Address][Your City, State, ZIP Code]
Step 4: Tweet (X) at Your Representative
Public pressure on social media can be very effective. After you find your Representative in Step 1, look for their social media handles. Many members have an official account (e.g., @RepYourRep), a personal account, and/or a campaign account. You can and should tag all of them in your tweet for maximum visibility. Sample Tweet: .@[Your Rep's Handle(s)] As your constituent, I urge you to remove SEC. 70114 from H.R. 1. It's an unfair tax hike on wagering losses that hurts regular people. Please vote to strip this provision from the final bill.
Step 5: Retweet (X) This
Representative Dina Titus is already trying to fight section 70114. Please retweet and @ your representative.
SEC. 70114
Here is section 70114.
SEC. 70114. EXTENSION AND MODIFICATION OF LIMITATION ON WAGERING LOSSES.
(a) In General.--Section 165 is amended by striking subsection (d) and inserting the following:(d) Wagering Losses.-- (1) In general.--For purposes of losses from wagering transactions, the amount allowed as a deduction for any taxable year-- (A) shall be equal to 90 percent of the amount of such losses during such taxable year, and (B) shall be allowed only to the extent of the gains from such transactions during such taxable year. (2) Special rule.--For purposes of paragraph (1), the term `losses from wagering transactions' includes any deduction otherwise allowable under this chapter incurred in carrying on any wagering transaction..
(b) Effective Date.--The amendment made by this section shall apply to taxable years beginning after December 31, 2025.