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Pennsylvania Continues to Cash in on Slots

The state of Pennsylvania continues to pull in huge sums from its 55% tax rate on slot machines, which is one of the highest tax rates for all US casinos.

Since the first Pennsylvania casino opened in late 2006, the state has taken in almost $4.8 billion in taxes on slot revenue alone. 

Recent tax returns have been strong despite a struggling US economy, with $108.7 million collected from taxes on slots revenue in September 2011, up from $102.2 million in September 2010.

With many gamblers crossing over other state lines to play in the newer Pennsylvania casinos, not all of the $200 million that slots players lost in the casinos came from state residents.

The addition of table games in July 2010 (which are currently taxed at 16%) to Pennsylvania casinos has many predicting that both slots revenue and overall gambling revenue will continue to climb.

As might be expected, many casinos operating in the state continue to claim that they're being excessively taxed to the point that they can't re-invest in their properties by adding hotels or other amenities.

Most casinos in the state offer just slots and table games, although earlier in the year the Sands at Bethlehem became the first to add a hotel to its property.


08-Oct-2011, 10:57

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