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Senate of Pennsylvania
Session of 2023 - 2024 Regular Session


Posted: April 10, 2023 12:18 PM
From: Senator Gene Yaw
To: All Senate members
Subject: Skill Video Gaming Act
In the near future, I will be introducing legislation that will regulate and establish an additional tax on skill video games in the Commonwealth.

Skill video games, operated in a regulated environment, will significantly benefit the Commonwealth by providing substantial revenue and creating jobs. All games will be required to be connected to a terminal collection and control system that allows the Commonwealth to monitor all transactions and ensure that all taxes are accrued and paid.
Upon passage of this legislation, experts estimate that approximately $300 million in annual tax revenue will immediately flow to the Commonwealth.
One of the largest skill video game manufacturers is located in my District. This industry has created hundreds of manufacturing jobs in and around my District. Nearly all of the components are sourced in the United States, many in our Commonwealth. Recently, manufacturing projects associated with skill video games have been reshored from China to Williamsport. The manufacturing of skill video games is creating good, family-sustaining jobs in our Commonwealth.
Additionally, my legislation will strengthen penalties for those who operate unlicensed and illegal games and gambling devices. These illegal gambling devices' negative impacts include but are not limited to the non-payment of local, state, or federal taxes, criminal activity, nuisance, and an increased strain on local and state law enforcement resources.
When so many small businesses, including bars, restaurants, and fraternal and veterans clubs are struggling due to the economic strain caused by the COVID-19 pandemic, skill video games are keeping them afloat by providing them with supplemental revenue.
This bill will address both the need to clean up the market to rid us of illegal gambling, provide the state with tax revenue, and support small businesses by giving them access to an additional revenue stream.

I hope you will join me in co-sponsoring this legislation.

Introduced as SB706