Bill Text: MI HB6463 | 2019-2020 | 100th Legislature | Introduced
Bill Title: Gaming: other; reference to sports betting in the lawful internet gaming act; clarify. Amends secs. 4 & 14 of 2019 PA 152 (MCL 432.304 & 432.314). TIE BAR WITH: SB 0661'19
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2020-12-02 - Referred To Second Reading [HB6463 Detail]
Download: Michigan-2019-HB6463-Introduced.html
HOUSE BILL NO. 6463
December 01, 2020, Introduced by Rep. Iden and
referred to the Committee on Ways and Means.
A bill to amend 2019 PA 152, entitled
"Lawful internet gaming act,"
by amending sections 4 and 14 (MCL 432.304 and 432.314).
the people of the state of michigan enact:
Sec. 4. (1)
Internet gaming may be conducted only to the extent that it is conducted in
accordance with this act.
(2) An internet wager received by an internet gaming operator
or its internet gaming platform providers is considered to be gambling or
gaming that is conducted in the internet gaming operator's casino located in
this state, regardless of the authorized participant's location at the time the
participant initiates or otherwise places the internet wager.
(3) A law that is inconsistent with this act does not apply
to internet gaming as provided for by this act.
(4) This act does not apply to any of the following:
(a) Lottery games offered by the bureau of lottery under the McCauley-Traxler-Bowman-McNeely McCauley-Traxler-Law-Bowman-McNeely lottery act, 1972
PA 239, MCL 432.1 to 432.47.
(b) Class II and Class III gaming conducted exclusively on
Indian lands by an Indian tribe under a facility license issued in accordance
with a tribal gaming ordinance approved by the chair of the National Indian
Gaming Commission. For purposes of this act, gaming is conducted exclusively on
Indian lands only if the individual who places the wager is physically present
on Indian lands when the wager is initiated and the wager is received or
otherwise made on equipment that is physically located on Indian lands, and the
wager is initiated, received, or otherwise made in conformity with the safe
harbor requirements described in 31 USC 5362(10)(C).
(c) A lawful fantasy contest.
(d) Any lawful internet Internet sports betting
under the lawful sports betting act, 2019 PA 149, MCL 432.401 to 432.419.
(5) A person shall not provide or make available computers or
other internet access devices in a place of public accommodation in this state,
including a club or other association, to enable individuals to place internet
wagers or play an internet game. The prohibition under this subsection does not
apply to an internet gaming operator aggregating, providing, or making available
computers or other internet access devices at its own casino.
(6) For purposes of this act, the intermediate routing of
electronic data in connection with internet wagering, including routing across
state lines, does not determine the location or locations in which the internet
wager is initiated, received, or otherwise made.
(7) An internet gaming operator may offer internet gaming
under a maximum of 2 separate brands, 1 for each of interactive poker and other
casino style games. This subsection does not prohibit an internet gaming
operator from using fewer than 2 brands or from using a single brand to offer
any combination of interactive poker or other casino style games. Only an
internet gaming operator or its internet gaming platform providers may process,
accept, or solicit internet wagers under this act. All websites and
corresponding applications used to offer internet gaming must clearly display
the brand of the internet gaming operator or its affiliate. The internet gaming
operator may also elect, in its sole discretion, to have the brand of each
internet gaming platform that it utilizes be the name and logos or of
no more than 1 internet gaming platform provider if the internet
gaming platform also clearly displays the internet gaming operator's own
trademarks and logos or those of an affiliate. The internet gaming operator is
responsible for the conduct of its internet gaming platform provider.
Sec. 14. (1)
Except for an internet gaming operator that is an Indian tribe, an internet
gaming operator is subject to a graduated tax on the adjusted gross receipts
received each calendar year by the internet gaming operator from all internet
gaming it conducts under this act as set forth below:
(a) For adjusted gross receipts less than $4,000,000.00, a tax
of 20%.
(b) For adjusted gross receipts of $4,000,000.00 or more but
less than $8,000,000.00, a tax of 22%.
(c) For adjusted gross receipts of $8,000,000.00 or more but
less than $10,000,000.00, a tax of 24%.
(d) For adjusted gross receipts of $10,000,000.00 or more but
less than $12,000,000.00, a tax of 26%.
(e) For adjusted gross receipts of $12,000,000.00 or more,
28%.
(2) An internet gaming operator that is an Indian tribe is
subject to the payment requirements under section 7(1)(f).
(3) An internet gaming operator shall pay the tax or payment,
as applicable, under subsection (1) or (2) on a monthly basis. The payment for
each monthly accounting period is due on the tenth day of the following month.
(4) Except as provided in this act and section 12(17) 12(15)
of the Michigan Gaming Control and Revenue Act, 1996 IL 1, MCL
432.212, an internet gaming operator is not subject to any excise tax, license
tax, privilege tax, occupation tax, or other tax, payment, or fee imposed
exclusively on an internet gaming operator or internet gaming operators by this
state or any political subdivision of this state, except as provided in this
act. This subsection does not impair the contractual rights under an existing
development agreement between a city and an internet gaming operator that holds
a casino license under the Michigan Gaming Control and Revenue Act, 1996 IL 1,
MCL 432.201 to 432.226.
(5) In addition to payment of the tax and other fees as
provided in this act, and to any payment required pursuant to an existing
development agreement described in subsection (4), if a city has imposed a
municipal services fee equal to 1.25% on a casino licensee, the city shall
charge a 1.25% fee on the adjusted gross receipts of an internet gaming
operator that holds a casino license under the Michigan Gaming Control and
Revenue Act, 1996 IL 1, MCL 432.201 to 432.226, whose casino is in that city.
Enacting section
1. This amendatory act does not take effect unless all of the following bills
of the 100th Legislature are enacted into law:
(a) Senate Bill No. 661.
(b) Senate Bill No.____ or House Bill No. 6462 (request no.
07887'20).
(c) Senate Bill No.____ or House Bill No. 6464 (request no.
07888'20).
