A measure that would provide the Louisiana gaming industry with an $83 million tax break over the next five years is awaiting debate on the state Senate floor after a Senate Committee approved the bill. Lake Charles Senator Ronnie Johns says his proposal is to help an industry that’s been hit hard by the COVID-19 economic shutdown.
“Of all the industries around the state, I think the restaurants and the gaming industry has been hurt probably the most and they are on their heels,” said Johns.
The legislation allows each casino to distribute five-million dollars in free promotional play wagers without having to pay taxes. Johns says the state will make that money up.
“For every dollar of promotional play that is used, it generates $5 in state revenue. We know that it works. If it didn’t work, the industry wouldn’t even be doing it today,” said Johns.
Johns says casinos use Promotional play wager as a marketing tool to attract customers to their casino. The tax break will cost the state an estimated 11-million dollars a year. Alexandria Senator Jay Luneau expressed his support
“As you might have heard, I’m not a real big fan of all of these tax breaks but I think that this is one that legitimately works, I really do,” said Luneau.