Published on: June 5, 2026, 11:23 AM.
Updated on: June 5, 2026, 11:23 AM.
- A proposed federal initiative aims to fund research on gambling addiction.
- Funding will be sourced from the federal excise tax on sports betting.
- Gambling participation among Americans has reached unprecedented levels.
Advocates for responsible gaming argue that gambling-related disorders are significantly underfunded and under-researched. New federal legislation aims to address this critical issue.
Representative Dan Goldman (D-NY) and Blake Moore (R-UT) have put forth the Gambling Disorder Health Study Act. This bill mandates a thorough examination of the origins, development, and lasting impacts of gambling addiction by the federal government.
The proposed legislation allocates multi-year funding, with the initial three years financed through the federal government’s excise tax on sports betting.
“Gambling addiction presents an escalating public health emergency, particularly among young men, and it’s critical that the federal government treats it as such,” remarked Goldman. “Congress must take decisive action against gambling addiction by passing this legislation.”
Goldman and Moore asserted that this research is vital to understanding how constant access to gambling apps affects the public, identifying which demographics are most vulnerable to gambling issues.
Excise Tax on Sports Betting
The federal government currently enforces an excise tax of 0.25% on every legal sports bet made. Additionally, there is a $50 annual tax per sportsbook employee, known as the “head” tax.
At present, the federal income from sports betting excise taxes is not allocated to any particular initiative, amounting to approximately $400 million annually, which is instead placed into the General Fund, often referred to as America’s Checkbook.
“We are witnessing a new era of gambling addiction, as sports betting and prediction markets have permeated every facet of life. Legislators and citizens alike need to explore the causes and consequences of gambling addiction to create feasible solutions,” stated Moore.
Goldman and Moore are not the first to propose utilizing sports excise tax revenues for gambling harm research.
In March, a bill titled the POINTS Act (Providing Opportunities for Individuals in Need of Treatment and Support) suggested allocating at least one-third of this tax revenue to create a federal grant system to support state-level research, treatment, and prevention initiatives for gambling disorders.
However, this legislation has yet to advance and remains in the House Energy and Commerce Committee.
US Gaming Revenue Trends
American gambling activity has surged to unprecedented levels. Following the US Supreme Court’s ruling in 2018, which empowered states to legalize sports betting, annual gross gaming revenue (GGR) has soared.
Sports betting has played a pivotal role in making gambling mainstream, expanding the industry’s customer base by millions.
In 2025, the revenue from commercial gaming reached $78.72 billion, reflecting a 9.2% increase from 2024. This total comprises earnings from casinos, sports betting, and iGaming, though it excludes other gambling forms like lotteries, parimutuel betting, or tribal gaming.
For context, commercial GGR was less than $29 billion in 2003.