Dana White asks Trump to reverse gambling tax provision

UFC president Dana White has asked President Donald Trump to push Congress to roll back a gambling tax provision that White says makes legal sports betting irrational in the United States.

White sent a letter dated May 11 to Trump requesting he work to reverse a 90% cap on gambling loss deductions included in the One Big Beautiful Bill Act, which became law last July. The UFC confirmed the letter's authenticity to ESPN after gambling journalist Dustin Gouker first reported it.

How the tax cap affects bettors and the UFC

"The current law makes it irrational to bet in the United States because you could end up owing taxes even when you lose or having a tax bill that exceeds your winnings for the year," White wrote, per ESPN. "The UFC supports a healthy, legal sports betting market to drive fan engagement, broadcast value, and sponsorships. When legal betting is discouraged, it hurts the ecosystem we've spent years building in partnership with state regulators and licensed operators."

Under the provision, a bettor who won $100,000 and lost $100,000 would net zero but could only deduct $90,000 in losses, leaving them taxed on $10,000 of phantom income. The cap particularly affects high-stakes and professional bettors, according to industry advocates who have been working to reverse it since the bill passed.

U.S. Rep. Dina Titus introduced the Fair Accounting for Income Realized from Betting Earnings Taxation Act shortly after the passage of OBBBA, though the measure has not yet come up for a vote. American Gaming Association senior vice president Chris Cylke told ESPN that restoring the full deduction remains a top priority and that the organization appreciates White raising awareness of the issue's impact on bettors, businesses, and jobs.

Source: espn.com