Why Does N.C. Tax Online Sports Bets Differently? Poole Explains.
In reporting from ABC-11 News, Poole College researchers explain why North Carolina taxes online and in-person sports gambling winnings differently.
The distinction, said associate economics professor Nathan Goldman, is in what constitutes a gambling “session.” In a casino, a session begins when you walk in and ends when you cash out. It could contain multiple bets, and you’re taxed on the amount you walk out with.
“Now the tough thing with sports gambling is there’s no clear thing of what’s a session for sports gambling,” said Goldman, who co-authored the sports gambling study with fellow associate professor Christine Lewellen. “What the (sports betting) companies have interpreted it as and what the other states that have come before us (have) is that each individual bet is its own session. This is something that, even beyond the state of North Carolina, the U.S. Treasury can actually issue more guidance on that can provide slightly more favorable treatment for sports gamblers.”
This post was originally published in Poole Thought Leadership.
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