LAS VEGAS (KTNV) — A brief passage in the Republican "Big, Beautiful Bill" that changes the way gamblers can deduct losses on their taxes may end up driving gambling offshore, an industry leader said.
Derek Stevens, owner of The D, Golden Gate, Circa and Circa Sports, says a change that allows gamblers to deduct only 90% of their losses (instead of the current 100%) could have serious implications for Las Vegas.
VIDEO: Steve Sebelius talks to the owner of The D, Golden Gate, Circa and Circa Sports about impact of the "big, beautiful bill"
"This affects everyone in Las Vegas, because this, like I said, will impact jobs," Stevens said. "This impacts visitation, tourism. It's an important thing that just needs to be corrected."
Stevens said he's already heard from some of his high-volume clients, who told him that — absent a fix — they will move their gambling business offshore, out of the reach of U.S. taxation.
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Although the bill was backed by President Donald Trump and pushed through Congress by Republicans with only a handful of party defections, Stevens said he didn't blame the GOP for the issue. Rather, he said, it was an unintended consequence of swift approval of a major bill.
"So, yeah, I don't think anyone — Democrat or Republican — had any intent on hurting Las Vegas or, for that matter, hurting the gaming industry in any sense," Stevens said. "It's just that the way this developed, it will really hurt Vegas. It will really hurt the gaming industry. And that's why this has to get fixed, because no one wants this to happen."
Rep. Dina Titus, D-Nev., has sponsored a bill to repeal the change in deduction rules, a bill that's been joined by every member of the Nevada House delegation, including Republican Mark Amodei. Other members of the GOP have also signed on to the bill.
In the Senate, Nevada's senior U.S. Sen. Catherine Cortez Masto tried to fast-track a repeal measure of her own, but ran into problems after another senator objected. (The senator in question, Todd Young, R-Ind., said he supported repeal as well, but wanted to add an unrelated amendment.)
The issue was a topic of conversation at the World Series of Poker, too, where even non-professional poker players who itemize their taxes were concerned about the impact.
Stevens says he has spoken with elected officials in his efforts to support returning the deduction to 100% of losses.
"It should be a very simple fix, but I know everything gets a little more complicated sometimes than it ought to be," Stevens said. "This is good for all our states. This is good for gamblers. It's good for recreational players as well as professional gamblers."