Rep. Horsford Pushes Congress to Advance FULL HOUSE Act

Jonathan Rodriguez

Written by: Jonathan Rodriguez

Published: Mon Oct 12, 2026, 12:00 pm ET

Read Time: 3 minutes

Rep. Horsford Pushes Congress to Advance FULL HOUSE Act

industry

Rep. Steven Horsford is intensifying pressure on Congress to restore the full federal gambling loss tax deduction, warning that the current rules could hurt gamblers and gaming communities. 

The Nevada Democrat renewed his appeal during the Global Gaming Expo (G2E) in Las Vegas, urging lawmakers to advance the FULL HOUSE Act. Although a key House committee approved a broader tax package containing the proposed fix, the legislation still needs further congressional action.

The debate centers on a provision in the One Big Beautiful Bill Act, the broader federal tax package signed into law in July 2025. That legislation introduced a limit allowing gamblers to deduct only 90% of eligible losses, starting with the 2026 tax year. 

As a result, gamblers could face taxable income even when their annual winnings and losses cancel each other out.

"The people who make our state and our communities prosperous, because of their hard work, we're going to make sure that their voice is at the table," Horsford said at G2E.

FULL HOUSE Act Advances Through Committee

Horsford introduced the FULL HOUSE Act alongside Republican Rep. Max Miller of Ohio. The proposal would restore the ability to deduct 100% of eligible gambling losses against winnings, up to the amount won.

The effort reached a significant milestone on September 16, when the House Ways and Means Committee voted 38-5 to approve a broader tax package containing the proposed restoration. 

However, the committee vote did not change the law, and Congress has yet to complete the legislative process.

Horsford has tied the proposal to the economic importance of gaming in Nevada, where casinos and related businesses support jobs across hospitality and tourism.

"Gaming is central to our economy and for workers and families throughout my district, they depend on it, including union workers," said Horsford, whose district includes parts of Las Vegas.

Gambling Tax Change Raises Concerns

The current deduction limit can create a tax liability even for gamblers who finish the year without a net profit. For example, someone reporting $10,000 in winnings and $10,000 in losses could deduct only $9,000 under the 90% rule. That leaves $1,000 in taxable gambling income despite breaking even, subject to applicable tax requirements.

The issue affects different parts of the gambling market, including casino customers and bettors using US online sportsbooks. Customers of US online casinos could also face implications when calculating eligible gambling losses and taxable winnings.

Gaming industry groups and major casino operators support restoring the full deduction. They argue that taxing money gamblers never actually retained could discourage participation in legal markets. It also affects businesses that depend on gaming activity. However, those potential economic consequences remain concerns raised by industry representatives rather than established outcomes.

Congressional Action Remains Uncertain

Horsford's proposal is part of a broader bipartisan effort to reverse the deduction limit. Nevada Democratic Rep. Dina Titus has also backed the FAIR BET Act, which seeks to restore the full deduction.

Despite the September committee vote, the proposal still needs approval from the full House and Senate. Reports have indicated that further House action may not occur until after the November midterm elections, leaving the timetable uncertain.

For now, Horsford continues to press lawmakers to move the tax fix forward. Unless Congress enacts a change, the 90% deduction limit will remain in effect for the 2026 tax year. This leaves gamblers and the gaming industry awaiting a final decision.

Jonathan Rodriguez
Jonathan Rodriguez

Jonathan is an avid basketball fan, and is often looking forward to the next upcoming NBA season when not checking players' stats during games. He also likes to keep his ears on the ground for the latest rumblings in the online casino industry.

This site contains commercial content. We may be compensated for the links provided on this page. The content on this page is for informational purposes only. Betting News makes no representation or warranty as to the accuracy of the information given or the outcome of any game or event.