Lawmakers Push Updated Illinois Online Casino Legislation Bills

Residents in Illinois can soon have real money online casinos available within their territory, thanks to revived efforts of their local legislators. SB 1963 and HB 3080 were filed last February 7, 2025 that were endorsed by Senator Cristina Castro and Representative Edgar Gonzalez.

Both bills were previously introduced and filed back in 2023 and 2024, but did not make it out of committee during the 2023-24 general assembly. This was the case, since the Prairie State is one of the more notoriously difficult states when it comes to legalizing gambling-related bills.

Currently, Illinois has added six brick-and-mortar casinos across the state over the last five-plus years. This includes four new permanent and two currently temporary locations.

What are the Key Points of the Updated Illinois Online Casino Bills?

One of the biggest updates SB 1963 and HB 3080 have from the previous General Assembly is an increase in the tax rate from 15% to 25%. Both Castro and Gonzalez would again allow a licensee to have up to “3 individually branded Internet gaming skins.” This proponent slightly differs from master sports wagering licensees being allowed only one.

Moreover, Sen. Castro and Rep. Gonzales carried over language into this year’s bills that the Illinois Gaming Board, namely pertaining to licensing parameters for potential operators.

The text stated that the Illinois Gaming Board “may not issue an Internet gaming license to an owners licensee or an organization licensee that has reduced the size of its workforce by 25% or more since Feb. 28, 2020.” 

That said, the precise definition of what comprises a “workforce” for a licensee, which is something opponents of the bill — most notably VGT proponents — could seize upon, has not been outrightly specified as of yet.

On the side of potential revenue, the increased tax rate may help get fellow lawmakers to at least debate the bill given the Governor’s Office of Management and Budget has projected a $3.2 billion shortfall for FY2026.

Gov. JB Pritzker is scheduled to unveil his budget to the General Assembly on Feb. 19. Last year, Gov. Pritzker used it to unexpectedly call for more than doubling the sports betting tax rate to 35% before the progressive tax gained momentum during legislative negotiations last May.

In the event that the upcoming General Assembly approves SB 1963 and HB 3080, Illinois will be on its way to becoming the latest US state to legalize online casinos.

Currently, the best USA online casinos are operating in Pennsylvania, Michigan, New Jersey, Delaware, Connecticut, West Virginia, and Rhode Island.