The House Ways and Means Committee approved an amendment restoring the full federal tax deduction on gambling losses. The measure passed Wednesday as part of H.R. 10357, the Digital Asset Tax Certainty Act.
Rep. Dina Titus of Nevada introduced the bipartisan FAIR BET Act on 7 July 2025, after the One Big Beautiful Bill cut the deduction from 100% to 90%. Without passage before 1 January 2027, players will pay tax on money they never won.
'After 14 months fighting to move this common-sense bipartisan fix through committee, we must secure a vote before 1 January 2027,' Titus said. She criticised Republican House leadership for delays: an earlier attempt failed in January when the Rules Committee rejected an amendment to a budget bill.
The FAIR BET Act has 25 co-sponsors. American Gaming Association, MGM Resorts, Caesars Entertainment, Wynn Resorts, DraftKings, FanDuel and Nevada Resort Association back the bill. In the Senate, Catherine Cortez Masto and Jackie Rosen of Nevada introduced the companion FULL HOUSE Act with Republican Ted Cruz of Texas.
Even after House approval, the amendment must pass the Senate and be signed by President Donald Trump. Otherwise the 90% cap takes effect on 1 January 2027.
