Maryland Sends Cease and Desist Letters Out to 11 Unauthorized Gambling Operators: Raising Taxes From 10 to 30 Percent

Written by:
C Costigan
Published on:
Jan/15/2025

The state of Maryland intends to raise its operating tax on gambling businesses from 10 percent to 30 percent. 

This comes as prominent gambling attorney Daniel Wallach confirmed that Maryland regulators have sent out cease and desist letters to 11 unauthorized gambling firms and their payment processors.

Dozens of sweepstakes casino sites and daily fantasy operators have inundated the Maryland market over the past year.

Wallach says he is not aware which companies received the cease and desist letters.

"BREAKING: The Maryland Lottery has sent cease-and-desist letters to 11 illegal online gaming operators; 6 responded, 0 agreed to block access. Follow-up letters are being sent and initial letters to payment processors are in progress, demanding they block access."

One of the larger sweepstakes casinos, Chumba Casino, currently operates in the state.  It is not yet known whether they received the cease and desist letter.

Offshore sportsbook Bovada had long listed Maryland among its "restricted states".  Bovada has since pulled out of nearly a dozen states in recent months.

DFS contests sites like PrizePicks have also come under intensive scrutiny by some state regulators. PrizePicks is currently available to Maryland residents.

Sweepstakes casinos and DFS sites, while advertising heavily in Maryland, do not pay operating taxes to that state.

Some offshore sportsbooks and local bookmaking businesses allow customers from Maryland but typically do not explicitly promote their website to residents of that state.

Maryland figured prominently in the "Blue Monday" crackdown of online gambling websites in 2011.

chrisface.png

By  Chris Costigan

Chris founded Gambling911.com in 1999 and serves as the website's publisher.  He brings more than 3 decades of expertise related to the gambling and sports betting sector.  Creative talent is in Chris' genes, which he brings to the G911 website.  He comes from a showbiz family that includes Yankee Doodle Dandy George M. Cohan.  Chris is the grandson of artist John E. Costigan, whose work appears in the Smithsonian.  Chris' father was also in the news business and co-founded what is today the Union County Performing Arts Center.  Chris is a graduate of Kean University. 

Gambling News

STATSCORE Enters Into Collaboration With Kambi

The partnership will see Kambi integrate STATSCORE's cutting-edge sports data products to enhance its sportsbook offerings and provide an unparalleled experience for its partners and users.

Syndicate

Subscribe to Syndicate
More