- New bill looks to legalize iGaming in Ohio
- 11 casinos and racinos could participate in offering Ohio online gaming
- Bill would also ban online sweepstakes operators
Ohio legislators recently introduced a new bill that would allow for legal Ohio iGaming by March 31, 2026. House Bill 298 would allow existing brick-and-mortar casinos to launch games like online slots, table games, and poker in Ohio.
Ohio has 11 casinos and racinos that would be eligible to participate. Licensing fees have been proposed for $50 million, while entry would be extremely limited, barring entry to offshore or out-of-state operators.
House Bill 298 Second Bill To Pursue Ohio iGaming
House Bill 298 was introduced by Reps. Brian Stewart and Marilyn John. They estimate anywhere from $400-$800 million per year could be generated for Ohio’s general revenue fund, with 1% going toward a Problem Gambling Fund.
“There’s a lot of things that we want to do in the state of Ohio that require increased revenues,” John said. “This is one way that we can go about expanding the consumer base of players who prefer an online setting.”
“There’s a lot of things that we want to do in the state of Ohio that require increased revenues. This is one way that we can go about expanding the consumer base of players who prefer an online setting.” — Rep. Marilyn John
House Bill 298 would include:
- Licensing fees of $50 million for in-state operators
- A 26% tax rate on gambling receipts
- Bans online sweepstakes operators
HB298 also aims to control problem gambling by banning the use of credit cards to fund online accounts, plus prohibiting online gaming credits.
Earlier in May, Sen. Nathan Manning introduced a similar bill, Senate Bill 197. SB197 differs from HB298 in terms of taxation and license availability. In SB197, out-of-state operators would be permitted to gain a license, but at a significantly higher fee and tax rate.
It also expands into further legalization in the iLottery and horse racing markets.
Highlights of SB197 include:
- Operators based in Ohio would pay a $50 licensing fee
- Operators based in Ohio would be taxed at 36%
- Out-of-state operators would pay a $100 million licensing fee
- Out-of-state operators would be taxed 40%
- Legalizes iLottery offerings
- Reduces taxes on sports betting at land-based casinos
- Legalizes online horse racing
Both bills would see online gaming regulated by the Ohio Casino Control Commission.
HB298 Would Ban Online Sweepstakes Platforms
Popular online sweepstakes platforms that offer “dual-currency systems” would suffer the biggest loss if HB298 were to pass. Sweepstakes operators typically offer currencies like Gold Coins or Sweeps Coins which can be exchanged for various prizes.
John and Stewart’s bill would force an outright ban on sweepstakes operators, deeming them as illegal gambling.
Ohio is not alone in moving towards bans on online sweepstakes gaming. Connecticut, Louisiana, Maryland, Montana, New Jersey, and New York have recently created or passed bills to ban sweepstakes gaming.
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