Overview

• Rep. Dina Titus said the GOP-controlled Rules Committee refused to make her FAIR BET Act in order for the NDAA, ending that route to restore the prior tax treatment.
• The FAIR BET Act sought to reinstate a full deduction of gambling losses to prevent so-called phantom income for professional and high-volume bettors.
• The 90% cap on loss deductions was enacted in President Donald Trump’s One Big Beautiful Bill and is scheduled to take effect in 2026.
• Poker figures including Phil Hellmuth, Daniel Negreanu, and Phil Galfond criticized the change, warning it would harm U.S. players and the broader industry.
• Titus vowed to keep building support after the setback, while experts caution the new rules could leave some players owing taxes even in breakeven years.