Bill > HB2046

This bill introduces a comprehensive regulatory framework for skill video gaming in Pennsylvania, establishing a structured system for licensing, operating, and taxing skill video game systems. The legislation reduces the daily tax rate for Category 4 slot machine licensees from 50% to 32% and creates an entirely new regulatory structure for skill video gaming that includes detailed provisions for distributors, operators, establishments, and players. Key provisions include requiring skill video game systems to be primarily skill-based, limiting terminals to five per establishment (with some exceptions), mandating that players be at least 18 years old, and imposing a 16% tax on gross profits from skill video game play. The bill establishes a licensing process with significant fees, requires extensive reporting and oversight by the Department of Revenue, and creates criminal and civil penalties for violations. The revenue generated from the tax will be distributed with 50% going to the General Fund, 25% to the Pennsylvania Standardbred Breeders Development Fund, and 25% to the Property Tax Relief Fund. The legislation also provides a 90-day window for entities to surrender existing unauthorized gaming equipment without criminal penalty and establishes specific rules about terminal placement, redemption, and operation to ensure fair and regulated gaming.

Business and Industry

https://www.palegis.us/legislation/bills/2025/hb2046