In 2018, lawmakers in Pennsylvania made history when they made their state the fourth to legalize online poker – and, Michigan could be next. There is talk that the state is likely to pass legislation within a week.
All that’s left to do now is wait for the green light from Governor Gretchen Whitmer. Once she signs off on the bills, gaming operators will be authorized to offer online poker, online casino games, fantasy sports and online betting.
While she has been quite supportive of the legalization of online poker and casino games, Governor Whitmer does have reservations. She is concerned that online casino games will cannibalize lottery sales – over 60% of which is donated to programs for seniors across the state.
However, there is no history of this being the case in any state where online casino games have already been legalised. So, it is still very likely that Governor Whitmore will sign online gambling regulation into law before the year is up.
How Online Poker Would Work In Michigan
As part of the proposed online gaming laws, tax rates for operators have been specified. While the regulations in New Jersey and Pennsylvania served as examples for Michigan, regulators decided to do things a little bit differently. While their tax rates are 17.5% and 16% respectively, Michigan’s rate will be somewhat higher.
Gaming operators across the state will be paying between 20% and 28% of their revenue. The specific rate will be based on their Adjusted Gross Receipts.
Any online gambling companies that wish to offer their services within the state of Michigan will have to partner up with an existing land-based brand that has a state license already. Since there are two dozen casinos in the state, it shouldn’t be very difficult for online operators to find brick-and-mortar collaborators.
The land-based gambling market in Michigan is already pretty extensive. There are 24 casinos across the state, three of which are located in the capital city of Detroit. So, it’s suspected that there will be plenty of interest in online casino games, including poker.
Michigan is also a huge state with just over 10 million residents. This means that there is a massive potential player pool waiting to be tapped by online poker and online casino operators. So, we’re likely to see a thriving online casino market in the state.