Nevada Representative Dina Titus plans to include the FAIR BET Act in the 2026 U.S. Defense Budget. She aims to reverse a tax change that capped gambling loss deductions at 90 percent.
That change emerged from the One Big Beautiful Bill Act signed in July 2025. It will apply starting with 2026 tax filings. Titus actively campaigns to restore the full 100 percent deduction.
She argues that taxpayers should not face taxes on what they never won. Instead, the FAIR BET Act would ensure fairness for recreational gamblers and professionals alike.
Rep. Titus also notes that gamblers using online casino games and online slot games deserve equitable tax treatment. In recent months, Titus hosted a town hall in Las Vegas to highlight her amendment.
Experts from gaming, tax, and tourism voiced their concerns about the deduction cap. They warned it could harm the local economy and undermine regulated operators.
She stressed that the government should motivate honest reporting of winnings and wagering only with legal platforms.
Other Legislators Lobbying to Restore Gambling Taxes
Last July 2025, Senator Catherine Cortez Masto introduced the FULL HOUSE Act. That measure similarly seeks to restore full gambling loss deductions.
In addition, Congressman Andy Barr filed the WAGER Act in late July with the same purpose. Thus, the FAIR BET Act complements these parallel efforts across party lines.
Furthermore, industry groups like the American Gaming Association now back FAIR BET. That shift followed earlier confusion about their support for the deduction limit. Titus wants bipartisan support to pass the amendment in the defense appropriations process.
Transitioning to the procedural outlook, the FAIR BET Act will need approval within the National Defense Authorization Act (NDAA) drafting. Thus, it must clear committee votes before final passage.
Ultimately, including FAIR BET in the 2026 Defense Budget could restore fairness for gamblers nationwide. It would safeguard those enjoying online casino games and online slot games from unintended tax penalties. Moreover, it reinforces Nevada’s role in protecting its gaming industry’s integrity.
Legislative Support and Next Steps
Representative Titus relies on collaboration with aligned bills like the WAGER Act and FULL HOUSE Act. Senator Cortez Masto’s FULL HOUSE Act remains in the Senate Finance Committee. Representative Barr’s WAGER Act awaits further debate in the House.
If combined momentum builds, these bills could form a unified push to restore full deduction. That unity could improve FAIR BET’s chance as part of the NDAA.
For now, policymakers and stakeholders continue negotiations ahead of defense budget drafting.
