Gambling in Vermont is a tough gig. There aren’t any casinos in the state, so you gotta pack up and head to a neighboring state to scratch that itch. Some of the hot spots for local gamblers include Mohegan Sun in Connecticut, Akwesasne Mohawk Casino Resort in New York, and of course, Atlantic City.
If you’re into online gambling, you’re gonna be pretty limited in Vermont. Your only legal options are social sites, but be careful: playing on offshore sites is a big no-no and can get you fined up to $200. It’s just not worth it. Unfortunately, it doesn’t look like the politicians in Vermont are planning to legalize casino gambling anytime soon, so we’re stuck with what we’ve got.
Vermont Gambling Revenues
Vermont has very limited gambling options compared to other states in the US. However, the state does generate some revenue from the few forms of gambling that are legal. In 2020, Vermont’s total gambling revenues were approximately $7 million, which is a relatively small amount compared to other states.
The majority of this revenue comes from the Vermont State Lottery, which offers various games such as instant scratch tickets, Powerball, Mega Millions, and other games. In 2020, the Vermont State Lottery generated about $5.6 million in revenue, with around 50% of this revenue going towards prizes, and the remaining amount being allocated to the state’s General Fund.
In addition to the state lottery, Vermont allows some charitable gaming options such as bingo and raffles. These activities generated approximately $1.3 million in 2020. Charitable gaming revenue is split between the organization holding the event and the state. In Vermont, the organization can keep up to 50% of the gross revenues, and the remaining amount is allocated to the General Fund.
It’s worth noting that Vermont does not have any casinos or other forms of commercial gambling, which limits the state’s potential for increased gambling revenue. However, the state has considered legalizing sports betting, and it remains to be seen how this would impact gambling revenues and where the revenue would be allocated.
Indian Gaming Tribes in Vermont
There are currently no federally recognized Indian tribes in Vermont, and thus, there are no Indian gaming casinos or other forms of gambling operated by tribes in the state. However, historically, there were several tribes that inhabited the area, including the Abenaki, who were known for their skill in hunting, fishing, and agriculture.
The relationship between the state of Vermont and the Abenaki people has been strained at times, with disputes over land ownership and recognition of tribal sovereignty. In the 1980s, the Abenaki began seeking federal recognition, which would give them the right to operate gaming casinos and other businesses on tribal land. However, the process has been slow, and to date, no tribes have been federally recognized in Vermont.
There have also been conflicts between different groups claiming to be Abenaki tribes, which has complicated efforts to achieve federal recognition. Some groups have faced criticism for their lack of historical and cultural ties to the Abenaki people, leading to further debate and controversy over tribal recognition.
Indian Gaming Tribes in Vermont:
- There are currently no federally recognized Indian tribes in Vermont.
- The Abenaki people historically inhabited the area but have faced challenges in achieving federal recognition.
- Efforts to achieve recognition have been complicated by conflicts between different groups claiming to be Abenaki tribes.
- As of now, there are no Indian gaming tribes in Vermont.
A History of Gambling in Vermont
Gambling has a long and varied history in Vermont, dating back to colonial times. One of the earliest forms of gambling in Vermont was horse racing, which began in the 18th century. In the 19th century, other forms of gambling, including card games and dice games, became popular.
In the early 20th century, anti-gambling sentiment began to take hold in Vermont, and various forms of gambling were outlawed. In 1902, the state legislature passed a law banning all forms of gambling, which remained in place for several decades. However, this did not completely eliminate gambling from the state, and illegal gambling continued to take place in various forms.
In 1976, the Vermont State Lottery was established, providing the state with a legal source of gambling revenue. The lottery has since grown in popularity, and in 2020, it generated approximately $5.6 million in revenue for the state. The lottery offers various games, including instant scratch tickets, Powerball, and Mega Millions.
Vermont also allows some forms of charitable gaming, including bingo and raffles. These activities are regulated by the state and must be conducted by licensed organizations. In 2020, charitable gaming generated approximately $1.3 million in revenue, which is split between the organization holding the event and the state.
Despite the legalization of the state lottery and some forms of charitable gaming, Vermont does not have any commercial casinos or other forms of gambling. This is in contrast to many other states in the US, which have legalized various forms of gambling, including sports betting and online gambling.
Efforts to legalize sports betting in Vermont have been ongoing in recent years, with the state legislature considering various bills. However, no sports betting legislation has been passed to date. Vermont remains one of the few states in the US without any commercial gambling options.
Gambling Taxes in Vermont
If you’re a Vermont resident who engages in gambling activities, you may be wondering how your winnings will be taxed. In Vermont, gambling winnings are subject to both state and federal taxes. You must report your gambling winnings as income on your tax return and pay taxes on them accordingly.
For state tax purposes, gambling winnings are treated as regular income and are subject to Vermont’s income tax rates, which range from 3.35% to 8.75% depending on your income level. For example, if you won $10,000 in the state lottery and you are in the 6.6% tax bracket, you would owe $660 in state income taxes.
For federal tax purposes, gambling winnings are also treated as income and are subject to federal income tax rates, which range from 10% to 37% depending on your income level. If you win $10,000 in the state lottery and you are in the 22% tax bracket, you would owe $2,200 in federal income taxes.
It’s important to note that gambling losses can be deducted from your gambling winnings for tax purposes, but only up to the amount of your winnings. For example, if you won $10,000 in the state lottery but also lost $5,000 in other gambling activities, you would only be taxed on $5,000 of net winnings.
If you receive a W-2G form from the gambling establishment where you won your prize, you must include this form with your tax return to report your winnings. If you do not receive a W-2G form, you are still required to report your winnings as income and pay taxes on them accordingly.
Vermont Gambling FAQ
How much can you win at Vermont casinos before being taxed?
As of now, there are no commercial casinos in Vermont. However, if you win money through the Vermont State Lottery or other gambling activities, you will need to report your winnings as income and pay taxes on them if they meet certain thresholds. In general, you must pay taxes on gambling winnings of $600 or more for single wins and losses that are 300 times or greater.
How to ban yourself from casinos in Vermont?
Since there are no commercial casinos in Vermont, there is no process for self-exclusion from gambling establishments. However, if you have a gambling problem, you can contact various organizations in the state that offer resources and support for individuals struggling with addiction.
Who regulates gambling in Vermont?
The Vermont Lottery Commission regulates the state lottery and charitable gaming in Vermont. The commission is responsible for overseeing the licensing of organizations that conduct charitable gaming activities, as well as ensuring that all gaming activities are conducted in accordance with state law.
What is the minimum gambling age in Vermont?
The minimum gambling age in Vermont varies depending on the type of gambling activity. For the state lottery and charitable gaming, the minimum age is 18. However, if sports betting or commercial casinos are legalized in the future, the minimum age for these activities may be higher.
Can I gamble online in Vermont?
As of now, online gambling is not legal in Vermont. However, the state legislature has considered bills to legalize sports betting and online gambling in recent years, so this may change in the future.
What types of gambling are legal in Vermont?
Vermont allows some forms of charitable gaming, including bingo and raffles, as well as the state lottery. However, there are no commercial casinos or other forms of gambling allowed in the state.
Can I deduct gambling losses on my taxes in Vermont?
Yes, in Vermont, you can deduct gambling losses from your gambling winnings for tax purposes. However, you can only deduct losses up to the amount of your winnings. You must keep accurate records of your gambling activities to document your losses for tax purposes.