Updates On Online Gambling

May 6, 2009 - Written By Haley

The New York Times states that gambling online in the United States is getting closer to becoming legalized everyday. The amount of revenue that could be brought in by taxing the winnings of online gambling is catching everyone's eye. It is said that the legalization of online gambling should happen sooner, rather than later. The enactment of the UIGEA in 2006 and the shifting of European companies out of the American market for online gambling, created a torrential downpour and cost companies millions of dollars. The New York Times report explains how the companies that were forced to pull out of America, may be getting a second chance. This is supported by the recent settlement between PartyGaming and the Department of Justice for old offences that occurred before the 2006 ban of online gambling. This is also supported by the pressure on European countries to regulate online gambling.

The report was made just a week ahead of the scheduled introduction of legislation made by Democratic Representative Barney Frank, aimed at overturning the ban on online gambling. The introduction has been pushed back numerous times, but is scheduled promptly to be brought up at the end of the week. Online players will have their fingers crossed that there are no further delays. Although Frank introduced this proposal last year, he feels strongly that it will be overturned this year. He plans to push the bill faster and harder than ever. State advocates of liberalization think they might get a better outcome this time around. Now that the Democrats have control of congress, it should be easier to pass the bill, due to the fact that they are less hostile towards online gambling, than the Republicans.

States such as California have been expressing the need to collect revenue by taxing online gambling. Now a draft legislation dated January 15th 2009 has been created by IGamingNews and is now doing Internet forums. Certain provisions in the draft will not amuse of the online gambling community at large. For one it speaks of online and online poker, not online gambling as a whole. It also states current gaming establishments that are state licensed by the state of California and California tribes with gaming contracts would be given licenses to conduct online poker. This would imply that only land based casinos in California can control online poker rooms. The third condition is that only residents of California would be allowed to play. This would detract from the International nature of online gambling. But at least this would be a start. As long as the legalization of online gambling is getting its foot in the door, it's got to have some positive feedback..