[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 2773 Introduced in Senate (IS)]

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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.
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