Senate votes to raise bets, tax on poker

CONCORD – The state Senate voted last night to pass a tax on Texas hold'em poker games to raise an estimated $3.5 million for the state.

The bill would impose a 10 percent tax on house winnings by companies that run the games for nonprofits, when chips have actual monetary value.

In games where chips have no value, it establishes a 3 percent tax on all the money collected from players and sets up a maximum 80 percent prize payout.

The maximum bet on all hold'em games would rise to $5, from the $2 limit in current law.

The House will be asked to agree to changes the Senate made in the bill, which started as an adjustment in the amount that goes to charities and called for criminal background checks.

Gov. John Lynch proposed the hold'em tax as one means of closing a growing budget deficit. He said it would impose the same tax on Texas hold'em games now in effect on bingo and Lucky Seven gambling.

Sen. Robert Odell, R-Lempster, said the Senate changes would not affect the amount of money charities collect. They now are entitled to 35 percent of the net amount left over at the end of a night's gambling. The new poker tax was approved, 16-8, and would take effect Jan. 1.

The changes to Texas hold'em games came before an extended debate on whether to allow slot machines at horse and dog tracks. Sen. Lou D'Allesandro, D-Manchester, made his arguments for slots, saying they would bring the state $300 million in annual revenue, create 4,000 jobs and boost the horse racing industry.

"The state needs revenue. We don't want taxes. This is an opportunity we should seize," D'Allesandro said.

His move failed, 13-11.

Union Leader

News Added: 16 May, 2008

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