Michigan About to Legalize Online Poker Within the Next Days

Christmas could be coming early for US poker players in Michigan. The US state is primed to become only the sixth with fully legalised online poker.

US poker

US Poker on the Up

US poker is finally making more headway towards full legalisation. A comprehensive online gaming bill is expected to be signed, sealed, and delivered within the coming days that will legalise online poker, online casinos, and sports betting in Michigan.

Senator Curtis Hertel Jr explained how lawmakers put together an improved deal containing a tax increase which ultimately got Gretchen Whitmer, the state governor, on side.

The new legislation passed through the state Senate with ease after a 35-3 vote. The House of Representatives agreed with a handful of minor changes to the draft and the document now sits on the desk of Gov. Whitmer.

Tiffany Brown, speaking on behalf of Gov. Whitmer, confirmed her boss was happy with the amendments made in the Senate and said,

“The governor is pleased with the progress made on gaming over the course of this year, particularly once Sen. Hertel and Rep. [Rebekah] Warren were able to engage and resolve key issues to get this package across the finish line.” 

US poker

Second Chance

This is a second bite at the cherry for US poker rooms in Michigan. Exactly a year ago, we saw Gov. Rick Snyder break the hearts of US poker players when he vetoed a similar deal as a final act in office.

Snyder had not expected such a strong push through the houses, and in what looked like a vindictive move, he chose to destroy any hope of legalising US online poker for another year.

An unusual feature of all this legal wrangling is how harmonious it has been throughout the process this year. Apart from hammering out the best tax deal for the state there has been little to fall out over.

Another surprising point is that Michigan’s 23 tribal casinos and the three official state casinos are all fully on board with the bill.

US poker

Dreaded Taxes

The only things in life that are guaranteed are death and taxes. US poker rooms operating in Michigan are going to have to hand over some fairly hefty fees if they are successful.

The licensing fees don’t look to be outrageous. In fact the opposite, given the potential of the industry.

$50,000 to apply for a casino license, and $100,000 for the first year following a successful application. $50,000 per year thereafter. Suppliers to the industry will pay $5,000 to get licensed and $2,500 per year thereafter.

The tax structure is where the state will get its real income if the governor signs the bill. A sliding scale of 20-28% depending on revenue will be charged for online poker and casino games.

  • 20% on revenue less than $4 million
  • 22% on revenue from $4-8 million
  • 24% on revenue from $8-10 million
  • 26% on revenue from $10-12 million
  • 28% on revenue of $12 million+

If you think these tax rates are a little excessive then you should worry about what’s happening over in Pennsylvania. Those guys are paying 54%!

This kind of advertising towards other state lawmakers can only bode well for the future. We all know just how attracted these people are to the idea of bigger budgets.

If you’re a US-based poker player and eager to play some poker before Michigan signs this bill into law, check out our review of the current best US poker sites.

Earn up to 60% partypoker rakeback when signing up through us!

When signing up through VIP-Grinders.com on partypoker, you can now earn up to 60% cashback on partypoker plus take part in the following exclusive VIP-Grinders Promotions with massive extra value:

New Customers Only | 18+ | T&Cs Apply
Upon making your first deposit of £/€/$20, you will receive $30 in SPINS tickets, up to 60% rakeback, our Exclusive Party & Bwin Chase along with other exclusive promotions and races.
$30 Tickets | 60% VIP

Terms and conditions apply. New customer offer and 18+ only. Should you require help regarding your betting pattern, please visit www.begambleaware.org.

Professional Poker Journalist
Mark Patrickson is a poker journalist with over ten years of experience. He writes for VIP-Grinders.com, sharing his deep knowledge of poker. He creates interesting content about poker strategy, trends, and news for poker fans worldwide.
Filed Under: Poker Industry News Poker News

Categories

GGPoker Welcome Bonus
Brands
Date (UTC-0)
Prizes
 
13th Oct 17:30
$250
20th Oct 17:30
$250
27th Oct 18:30
$250
ewallet-general-banner-new-version-2021