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DraftKings CEO Criticizes Gambling Provision In Trump's OBBBA

DraftKings CEO Jason Robins criticized a new tax provision in President Donald Trump's proposed megabill, calling it "extremely strange" and illogical. Robins questioned why gamblers ought to pay income tax on cash that isn't real revenue.
- DraftKings CEO states Trump's OBBBA does not make good sense.
- The OBBBA avoids gamblers from subtracting 100% of their losses.
- DraftKings says it's dealing with lawmakers to nix the provision.
"I do think it's something that does not makes sense," Robins informed CNBC's Jim Cramer. "If you can't subtract all your losses, you understand, how does that make good sense that you pay income tax on something that's not really earnings."
The arrangement, highlighted in the GOP's One Big Beautiful Bill Act (OBBBA), would avoid gamblers from deducting 100% of their losses from their payouts, which was formerly considered basic practice. Under the new rule, only 90% of losses can be deducted, implying that even a break-even gambler still owes taxes.
Robins associated the change to a spending plan reconciliation technicality referred to as the Byrd guideline and added that DraftKings is dealing with legislators to reverse the provision.
Congress introduces FAIR BET Act to combat Trump expense
DraftKings isn't alone in opposing Trump's megabill. Nevada Congresswoman Dina Titus has introduced the FAIR BET Act to counter the controversial modification in gambling tax policy.
The brand-new guideline sparked a backlash from who argue the OBBBA unfairly burdens taxpayers and dissuades transparent reporting. The FAIR BET Act, co-sponsored by Rep. Ro Khanna of California, looks for to bring back the previous rule, which permits 100% of wagering losses to be subtracted from winnings.
Titus condemned the betting tax provision, stating Senate Republicans placed it without House authorization and that it might drive bettors towards uncontrolled markets. Titus insists her bill guarantees fairness for all wagerers and promotes responsible betting through legal operators.
DraftKings reports favorable Q2 incomes
DraftKings, meanwhile, reported its second-ever lucrative quarter as a public business, leading to a 7% jump in stock value in after-hours trading on Wednesday. The company published $1.51 billion in earnings for Q2 2025, exceeding analyst expectations of $1.43 billion.
Robins credited the company's success to strong client engagement, effective acquisition techniques, and beneficial wagering outcomes. He revealed optimism about the continued legalization of sports betting across the U.S., anticipating significant markets, such as Texas and California, will be consisted of.