If you play fantasy sports, you may have to start paying taxes on your winnings. Wednesday, the Pennsylvania House of Representatives Gaming and Oversight Committee voted unanimously to approve legislation that would regulate and tax fantasy sports, according to Steve Esack at mcall.com.
The bill would still have to be passed by the entire House and Senate.
The bill would require fantasy sports companies to be licensed by the state and pay a tax that is five percent of their revenue (entry fees minus prizes) multiplied by the percentage of their business in Pennsylvania, as reported by Karen Langley at Philly.com.
If the bill is passed and signed by Gov. Tom Wolf, it would not go into effect for upcoming NFL season. But would be in place before the Super Bowl, according to Esack.
"Today the Pennsylvania legislature took another important step toward enacting a commonsense regulatory framework that protects fantasy sports competitors in the commonwealth," Griffin Finan, director of public affairs for DraftKings, said in a statement, as reported by Langley.
DraftKings and FanDuel are the two biggest fantasy sports companies.