Categories: News & Updates

A third bill has been filed in Congress to get rid of the 90% gambling-loss writeoff cap.

Republican Representative Andy Barr proposed HR 4630 to eliminate the 90% cap on gambling-loss deductions and restore the full 100% write-off. The plan aims to modify the tax law in a bipartisan manner and is modelled after similar legislation by Democrat Rep. Dina Titus.

On July 23, Republican Representative Andy Barr of Kentucky submitted the third measure that aims to repeal a cap on gambling-loss deductions that was incorporated into President Donald Trump’s new tax legislation.

Barr’s measure, like Democratic Rep. Dina Titus’s HR 4304, has been assigned to the House Ways and Means Committee, but its text is not yet accessible on the Congressional bill-tracking website.

Barr is the first Republican to introduce legislation to restore 100% of gambling-loss write-offs. Two days prior to the House Ways and Means Committee’s field hearing in Las Vegas, he submitted HR 4630, stating that the House was dedicated to finding a bipartisan solution.

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Titus’ measure, which would directly modify the tax code by “striking ‘90%’ and inserting ‘100%,'” is different from the “Winnings and Gains Expense Restoration Act of 2025,” often known as the WAGER Act. Barr’s bill is as follows:

“For any taxable year” and all that follows through “shall be permitted” are struck, and “for any taxable year shall be allowed” is inserted in H. Con. Res. 14. (119th Congress).”

This would entail removing a clause in the comprehensive federal bill that states that the maximum deduction “must equal 90 percent of the amount of such losses during such taxable year.”

On December 31, the measure would go into effect.

A clause in the new tax bill that Trump signed on July 4 would lower the maximum amount of losses that gamblers may deduct from their taxes from 100% to 90%.

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