Sports Gambling and Consumer Finance (CRS Report for Congress)
| Release Date |
Sept. 12, 2024 |
| Report Number |
IF12761 |
| Report Type |
In Focus |
| Authors |
Karl E. Schneider |
| Source Agency |
Congressional Research Service |
Summary:
Sports gambling is a common form of gambling where
bettors wager on the results of athletic events. Before 2018,
sports gambling was illegal in most states. In 2018, the
Supreme Court held in Murphy vs. National Collegiate
Athletic Association (NCAA) that the Professional and
Amateur Sports Protection Act (PASPA, P.L. 102-559) was
unconstitutional and that states could legalize and regulate
sports gambling. Since the ruling, 38 states and the District
of Columbia have legalized sports gambling (LSG).
This growth in LSG has led to scrutiny over its impact on
consumer finances. Two recent working papers provide
evidence that LSG has led to adverse consumer finance
outcomes. Congress may weigh these concerns with other
policy considerations, including taxation revenue from
gambling, job growth in sports gambling sectors, and
consumer choice. This InFocus focuses on sports gambling
opposed to gambling broadly because of this recent legal
change and recent legislative action focusing on sports
gambling.
Legislation introduced in the 118th Congress would make
changes to sports gambling advertising (H.R. 967, H.R.
7891, S. 2495) and modifications to the federal excise tax
for sports gambling (H.R. 6982/S. 3579, S. 4872).
