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Sunday, January 19, 2025

Yaw proposes regulation and taxation on skill video games in Pennsylvania

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State Senator Eugene Yaw | Pennsylvania

State Senator Eugene Yaw | Pennsylvania

State Senator Gene Yaw of Pennsylvania has announced plans to introduce legislation aimed at regulating and taxing skill video games in the state. The proposed law is expected to generate an estimated $300 million annually, with a portion of this revenue earmarked for the Clean Streams Fund.

Senator Yaw emphasized the importance of recognizing skill games as part of Pennsylvania's economy. "Skill games are a piece of the economy in our state. They cannot and should not be ignored," he stated. He highlighted that regulating this industry could provide significant additional revenue for important programs like the Clean Streams Fund, which supports small businesses in Pennsylvania.

The proposed legislation includes several key measures: all games must connect to a terminal collection and control system for transaction monitoring, stricter penalties for unlicensed operations, and requirements such as valid ID checks for players. Additionally, gaming will not be allowed as an establishment's primary income source, nor will there be more than a limited number of terminals per location.

The regulatory authority over these games would be assigned to the Pennsylvania Department of Revenue, supported by favorable court decisions affirming their skill-based nature. Enforcement responsibilities would fall under the Bureau of Liquor Control Enforcement (LCE).

The Clean Streams Fund focuses on agricultural conservation, nutrient management, clean water procurement, stormwater management, and acid mine drainage reduction. Established in 2023 alongside the Agricultural Conservation Assistance Program (ACAP), it aims to reduce pollution affecting the Chesapeake Bay.

For further information on state-related news, constituents can visit Senator Yaw’s website or follow him on social media platforms.

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