[Congressional Bills 119th Congress] [From the U.S. Government Publishing Office] [S. 2773 Introduced in Senate (IS)] <DOC> 119th CONGRESS 1st Session S. 2773 To amend the Internal Revenue Code of 1986 to exempt sports betting from the tax on authorized wagers. _______________________________________________________________________ IN THE SENATE OF THE UNITED STATES September 11, 2025 Ms. Cortez Masto (for herself and Mrs. Hyde-Smith) introduced the following bill; which was read twice and referred to the Committee on Finance _______________________________________________________________________ A BILL To amend the Internal Revenue Code of 1986 to exempt sports betting from the tax on authorized wagers. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, SECTION 1. SHORT TITLE. This Act may be cited as the ``Withdrawing Arduous Gaming Excise Rates Act'' or the ``WAGER Act''. SEC. 2. SPORTS BETTING EXEMPT FROM THE EXCISE TAX ON AUTHORIZED WAGERS. (a) In General.--Section 4402 of the Internal Revenue Code of 1986 is amended by adding at the end the following new paragraph: ``(4) Sports betting not prohibited under state law or tribal compact.--On any wager which-- ``(A) is not prohibited under-- ``(i) the law of the State in which accepted, or ``(ii) an approved Tribal-State gaming compact executed in accordance with the Indian Gaming Regulatory Act (25 U.S.C. 2701 et seq.), and ``(B) is placed with respect to any sporting event.''. (b) Effective Date.--The amendment made by this section shall apply to wagers placed after the date of the enactment of this Act. <all>