Legislation that would regulate skill video games, and use a portion of the proceeds to fund clear water in Pennsylvania, is on its way PA Sen. Gene Yaw (R-Williamsport) said.
In a memo to state Senators, Yaw said the legislation will establish a regulatory framework and taxation structure on skill video games, and that a portion of the revenue generated by the taxation would be directed to the state’s Clean Streams Fund. Yaw estimated the bill could generate up to $300 million in annual tax revenue.
“Skill games are a piece of the economy in our state. They cannot and should not be ignored,” Yaw said. “With each passing day, Pennsylvania is missing out on significant additional revenue for important programs like the Clean Streams Fund. It is vital that the legislature take the necessary steps to regulate this industry, capitalizing on substantial earnings and supporting the backbone of Pennsylvania: our small businesses.”
Under the t0-be-released proposal, all skill games would be connected to a terminal collection and control system that would allow the state to monitor all transactions and ensure taxes are accrued and paid. The legislation will also strengthen penalties for unlicensed and illegal games or gambling devises and would require games to have a valid ID. The legislation would also prohibit gaming from being an establishment’s primary source of income and would limit the number of terminals per business location.
According to Yaw, regulatory authority over the sale, distribution and use of a skill video game system would go to the Pennsylvania Department of Revenue, with enforcement for the regulations carried out by the Bureau of Liquor Control Enforcement.