Representative Alan Morrison has taken the legalization of iGaming in Indiana into his own hands. By enforcing Morrison’s House Bill 1406, he is attempting to push for online gambling freedom within the state. The Bill would legalize all forms of gambling within Indiana, particularly including online casino gambling.
More opportunities for established casinos
More specifically, the Bill would also call for licences to be fully available to Indiana’s established casinos. However, as most licences do, these would come at a cost. To gain one of these master licences, each land-based casino would have to apply for an interactive gaming licence. This comes at a high up-front cost of $500k (£366k) then a subsequent $50k (£36.6k) renewal fee each year.
Despite the higher licence fees, there will still be restrictions for licence holders. Holders will not be allowed to offer any more than three branded skins. Third parties may manage the skins, but again, they must apply for the interactive gaming licence too, only at a lower one-off fee of $100k (£73.3k) then subsequent annual fees of $25k (£18.3k).
If the fees weren’t enough, those holding the licence would be taxed approximately double than the current rates that are in place for sports betting (9.5%). Moreover, licensees are further subject to 18% tax on gross revenue.
If the bill was passed this year, the market would be open from 1st September 2021. License applications will be open to established casinos and third parties at the beginning of July.
We can expect to see large amounts of revenue generated if the Bill was to become law. Research suggests that the launch would generate upwards of $10m (£7.33m) in new state taxes. Evidently, there are plenty of new opportunities for affiliates in 2021 that shouldn’t be missed.