Congressmembers Reintroduce Shifting Limits on Thresholds (SLOT) Act

U.S. Capitol Building

WASHINGTON, D.C. – Congresswoman Dina Titus (D-NV) and Congressman Guy Reschenthaler (R-PA), Co-Chairs of the bipartisan Congressional Gaming Caucus, reintroduced the Shifting Limits on Thresholds (SLOT) Act, legislation that would update the nearly 50-year-old reporting threshold for slot machine winnings by raising it from $1,200 to $5,000 and indexing it to inflation.

While slot jackpots have increased over the years to reflect inflation, the reporting threshold has not increased since 1977. Currently, every time the threshold is hit, the slot machine it triggers must be temporarily taken out of service. By creating unnecessary roadblocks in the legal gaming experience, legitimate customers are incentivized to switch to the illegal market, meaning less tax revenue and more violations of the law.

“Updating a Reagan-era gaming regulation is not just a priority for my constituents in Las Vegas, it is a commonsense fix that affects the growth of legal gaming in local and tribal communities across the country,” said Rep. Titus. “Shutting down slot machines for low-dollar amounts pushes people toward the illegal market and flooding the IRS with automated, outdated forms helps no one. This legislation would reduce the paperwork burden on businesses and players while ensuring our tax code reflects economic reality.”

“The 1977 slot jackpot reporting threshold hurts both Pennsylvania’s gaming industry and its patrons,” said Rep. Reschenthaler. “Because the threshold has not kept up with inflation, it has resulted in a drastic increase in reportable jackpots, which trigger tax burdens for winners and compliance burdens for casinos. Increasing the threshold will eliminate this onerous red tape, ensuring the gaming industry can continue to support good-paying jobs and foster economic growth in southwestern Pennsylvania and across the country.”

“I want to thank Representative Titus for her reintroduction of the SLOT Act,” said Ernest L. Stevens Jr., Chairman, Indian Gaming Association. “Tribal gaming is experiencing tremendous post-COVID growth and the Treasury Department’s slot reporting requirement is a regulatory burden on our tribal gaming industry. On behalf of the Tribal Membership at the Indian Gaming Association, I would like to acknowledge Representative Titus and Representative Guy Reschenthaler (PA-14) for their commitment towards removing this outdated and costly burden on our daily tribal gaming operations.”

“This is a commonsense update to tax policy that creates a better patron experience, reduces burden on the IRS, and supports gaming’s economic impact in communities,” said Bill Miller, American Gaming Association President and CEO. “We are grateful for Rep. Titus and Rep. Reschenthaler’s leadership on this important industry priority to address the antiquated slot tax threshold.”