US bill proposes using betting tax to fund gambling harm treatment
A bill titled the POINTS Act (H.R. 7875) has been introduced in the US House of Representatives, proposing the creation of a federal grant programme for the prevention and treatment of gambling addiction.
The idea of funding such measures through the existing federal sports betting tax is not new on Capitol Hill. In 2024, lawmakers also floated the GRIT proposal, under which half of federal sports betting tax revenues would be directed to treatment, prevention and research into gambling addiction.
How the funding would work
Under the proposal, one third of the federal sports betting tax would be distributed on a competitive basis to states, Indian tribes and tribal organisations. The funding would be used to expand access to support for people experiencing gambling-related harm — from early identification to specialised treatment. The funding source is set out clearly: the programme would receive a share of existing receipts from the federal excise tax on sports betting.
The bill does not set a fixed dollar amount; it sets a formula. According to the text of the POINTS Act published by Fox News, for fiscal year 2027, the allocation would equal 33% of receipts collected in calendar year 2025. For fiscal years 2028–2032, the amount would be indexed to CPI-U (the Consumer Price Index for All Urban Consumers). Under Section 4401(a) of the Internal Revenue Code, for wagers permitted under state law, the federal excise tax is 0.25% of the amount wagered.
The POINTS Act remains at an early stage. The bill has been introduced in the House and would need to move through committee consideration and then votes in both chambers of Congress before it could become law.
Infographic. (Source: SiGMA News)
What the grants could fund
The POINTS Act specifies both eligible recipients and spending categories. Federal tax revenues could be used for:
- training specialists in screening and “brief interventions”;
- prevention and public awareness;
- outpatient care, including telemedicine;
- support groups (for example, Gamblers Anonymous);
- establishing or expanding helplines.
The bill also sets programme priorities: focusing on higher-risk groups (young people, men, Native Americans, active-duty military and veterans), partnering with community organisations, and expanding support in areas with low levels of insurance coverage, including rural regions.
Why the programme is being proposed at the federal level
Supporters argue that gambling disorder is recognised clinically, yet the US still lacks stable federal funding for prevention and treatment. The National Council on Problem Gambling (NCPG), which supported the POINTS Act, estimates that redirecting one-third of the excise tax could generate around $100 million annually for the programme. In its statement, NCPG also cited data indicating that federal excise tax revenues from sports betting exceeded $150 million in fiscal year 2024 and reached an estimated $300 million in fiscal year 2025.
Helplines as the baseline minimum
POINTS Act sponsors emphasise immediate support infrastructure — helplines. This channel remains widely used in the US. In February 2026, NCPG issued a resolution urging prediction-market operators serving US audiences to promote the 1-800-MY-RESET number as a baseline consumer-protection measure, and to display it in marketing materials and within products with visibility comparable to that of regulated sports betting.
This article was first published in Russian on 16 March 2026.
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