{"id":9777,"date":"2025-09-09T03:37:35","date_gmt":"2025-09-09T03:37:35","guid":{"rendered":"https:\/\/casino-online-best.com\/index.php\/2025\/09\/09\/louisiana-targets-sweepstakes-casinos-with-44-million-tax-lawsuit\/"},"modified":"2025-09-09T03:37:35","modified_gmt":"2025-09-09T03:37:35","slug":"louisiana-targets-sweepstakes-casinos-with-44-million-tax-lawsuit","status":"publish","type":"post","link":"https:\/\/casino-online-best.com\/index.php\/2025\/09\/09\/louisiana-targets-sweepstakes-casinos-with-44-million-tax-lawsuit\/","title":{"rendered":"Louisiana Targets Sweepstakes Casinos With $44 Million Tax Lawsuit"},"content":{"rendered":"<div>\n<p>Louisiana has taken direct aim at sweepstakes-style online casinos, launching a lawsuit that could set the tone for how other U.S. states handle the sector.<\/p>\n<hr>\n<p><em><strong>Good to Know<\/strong><\/em><\/p>\n<ul>\n<li><em><strong>Louisiana is suing Virtual Gaming Worlds (VGW) and MW Services for nearly $44M in unpaid taxes.<\/strong><\/em><\/li>\n<li><em><strong>Allegations center on virtual currency sales and failure to remit state sales tax.<\/strong><\/em><\/li>\n<li><em><strong>Lawmakers already attempted to ban sweepstakes casinos earlier this year under SB 181.<\/strong><\/em><\/li>\n<\/ul>\n<hr>\n<p>According to filings, Louisiana claims VGW and MW Services failed to collect and remit sales tax on sales of their in-platform currencies. The penalties total nearly $44 million, with the state arguing that the companies had a clear duty to pay.<\/p>\n<p>Gaming attorney Daniel Wallach explained that the case focuses on the way these platforms structure their business. Players purchase digital \u201cGold Coins,\u201d which are bundled with bonus \u201cSweeps Coins.\u201d Those Sweeps Coins can then be used in casino-style games and later redeemed for cash or gift card equivalents.<\/p>\n<p>This lawsuit isn\u2019t the first time Louisiana has challenged sweepstakes casinos. Back in April, Senator Adam Bass introduced Bill SB 181, designed to outlaw online gambling operations labeled as sweepstakes or social casinos. The bill explicitly targeted games that use dual-currency systems, where players buy one form of credit and receive a redeemable counterpart for cash prizes.<\/p>\n<div class=\"main-org-3-item-ins box-100 relative mb-4\">\n<div class=\"space-org-3-items box-100 relative\">\n<div class=\"box-100 space-org-3-item relative border-tb mt-1 \">\n<div class=\"space-org-3-item-ins box-100 relative\">\n<div class=\"space-org-3-item-logo box-25 relative\">\n<div class=\"space-org-3-item-logo-ins box-100 text-center relative\">\n<div class=\"space-org-logo-title-box box-100 text-left relative\">\n<div class=\"space-org-3-item-logo-box box-25 relative img-radius\">\n\t\t<a href=\"https:\/\/igaming.org\/site\/katsubet-casino\/\" title=\"Visit Site\" target=\"_blank\" rel=\"nofollow\"><br \/>\n\t\t<amp-img alt=\"Katsubet\" src=\"https:\/\/igaming.org\/wp-content\/uploads\/2023\/01\/Katsubet.png.webp\" width=\"50\" height=\"50\" layout=\"fixed\"><br \/>\n\t\t<\/amp-img><br \/>\n\t\t<\/a>\n\t\t<\/div>\n<div class=\"space-org-3-item-logo-title box-25 relative py-10\">\n\t\t<a href=\"https:\/\/igaming.org\/site\/katsubet-casino\/\" title=\"Katsubet\" target=\"_blank\" rel=\"nofollow\">Katsubet<\/a>\n\t\t<\/div>\n<\/p><\/div>\n<\/p><\/div>\n<\/p><\/div>\n<div class=\"space-org-3-item-terms box-25 relative\">\n<div class=\"space-org-3-item-terms-ins box-100 text-center relative\">\n\t\t<strong>5BTC or 111% + 111 Free Spins!<\/strong><br \/>\n\t\t<\/p>\n<div class=\"pt-1\">New players only. 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In her words:<\/p>\n<p><em>\u201cFollowing a review of applicable Louisiana statutes and legal precedent, it is the opinion of this office that online businesses offering casino-style games \u2013 purporting to be sweepstakes or social gaming platforms \u2013 are operating in violation of Louisiana law.\u201d<\/em><\/p>\n<p>She added that despite being branded as promotions, these games still allow players to effectively purchase chances to win real money, which aligns with how Louisiana defines gambling.<\/p>\n<div class=\"main-org-3-item-ins box-100 relative mb-4\">\n<div class=\"space-org-3-items box-100 relative\">\n<div class=\"box-100 space-org-3-item relative border-tb mt-1 \">\n<div class=\"space-org-3-item-ins box-100 relative\">\n<div class=\"space-org-3-item-logo box-25 relative\">\n<div class=\"space-org-3-item-logo-ins box-100 text-center relative\">\n<div class=\"space-org-logo-title-box box-100 text-left relative\">\n<div class=\"space-org-3-item-logo-box box-25 relative img-radius\">\n\t\t<a href=\"https:\/\/igaming.org\/site\/betus\/\" title=\"Visit Site\" target=\"_blank\" rel=\"nofollow\"><br \/>\n\t\t<amp-img alt=\"BetUS\" src=\"https:\/\/igaming.org\/wp-content\/uploads\/2023\/01\/BetUS.png.webp\" width=\"50\" height=\"50\" layout=\"fixed\"><br \/>\n\t\t<\/amp-img><br \/>\n\t\t<\/a>\n\t\t<\/div>\n<div class=\"space-org-3-item-logo-title box-25 relative py-10\">\n\t\t<a href=\"https:\/\/igaming.org\/site\/betus\/\" title=\"BetUS\" target=\"_blank\" rel=\"nofollow\">BetUS<\/a>\n\t\t<\/div>\n<\/p><\/div>\n<\/p><\/div>\n<\/p><\/div>\n<div class=\"space-org-3-item-terms box-25 relative\">\n<div class=\"space-org-3-item-terms-ins box-100 text-center relative\">\n\t\t<strong><strong>Get 125% \/ $2,500 on 1st deposit!<\/strong><\/strong><br \/>\n\t\t<\/p>\n<div class=\"pt-1\">New players only. Exclusive Welcome Bonus of up to $2,500<\/div>\n<\/p><\/div>\n<\/p><\/div>\n<div class=\"space-org-3-item-rating box-25 relative mb-10\">\n<div class=\"rating-box text-center box-100  relative\">\n<div class=\"space-org-3-item-rating-box relative\">\n<div class=\"stars\"><span class=\"star on\"><\/span><span class=\"star on\"><\/span><span class=\"star on\"><\/span><span class=\"star on\"><\/span><span class=\"star on\"><\/span><\/div>\n<div class=\"space-org-rating-notice relative\">Casino &#038; Sports<\/div>\n<\/p><\/div>\n<p>\t\n\t\t\t\t <\/div>\n<\/p><\/div>\n<div class=\"space-org-3-item-button box-25 relative\">\n<div class=\"space-org-3-item-button-ins box-100 text-center relative\">\n\t\t\t\t<a href=\"https:\/\/igaming.org\/site\/betus\/\" title=\"Visit Site\" target=\"_blank\" rel=\"nofollow\">\tVisit Site<\/a>\n\t\t\t<\/div>\n<\/p><\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<p>VGW operates popular platforms such as Chumba Casino, LuckyLand Slots, and Global Poker\u2014all of which are accessible across much of the United States.<\/p>\n<h2><strong>Where Sweepstakes Casinos Stand in the U.S.<\/strong><\/h2>\n<p>Here\u2019s a quick overview of the current sweepstakes casino landscape across states. This is based on availability, legal notes, and known restrictions:<\/p>\n<table>\n<thead>\n<tr>\n<td><strong>State<\/strong><\/td>\n<td><strong>Status<\/strong><\/td>\n<td><strong>Notes<\/strong><\/td>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td><strong>California<\/strong><\/td>\n<td><img decoding=\"async\" src=\"https:\/\/s.w.org\/images\/core\/emoji\/16.0.1\/72x72\/2705.png\" alt=\"\u2705\" class=\"wp-smiley\" style=\"height: 1em; max-height: 1em;\"> Allowed<\/td>\n<td>Large user base for Chumba and Global Poker<\/td>\n<\/tr>\n<tr>\n<td><strong>Texas<\/strong><\/td>\n<td><img decoding=\"async\" src=\"https:\/\/s.w.org\/images\/core\/emoji\/16.0.1\/72x72\/2705.png\" alt=\"\u2705\" class=\"wp-smiley\" style=\"height: 1em; max-height: 1em;\"> Allowed<\/td>\n<td>No direct regulation, players widely active<\/td>\n<\/tr>\n<tr>\n<td><strong>Florida<\/strong><\/td>\n<td><img decoding=\"async\" src=\"https:\/\/s.w.org\/images\/core\/emoji\/16.0.1\/72x72\/2705.png\" alt=\"\u2705\" class=\"wp-smiley\" style=\"height: 1em; max-height: 1em;\"> Allowed<\/td>\n<td>Access granted, though under legal review<\/td>\n<\/tr>\n<tr>\n<td><strong>New York<\/strong><\/td>\n<td><img decoding=\"async\" src=\"https:\/\/s.w.org\/images\/core\/emoji\/16.0.1\/72x72\/2705.png\" alt=\"\u2705\" class=\"wp-smiley\" style=\"height: 1em; max-height: 1em;\"> Allowed<\/td>\n<td>Popular market for sweepstakes poker<\/td>\n<\/tr>\n<tr>\n<td><strong>Nevada<\/strong><\/td>\n<td><img decoding=\"async\" src=\"https:\/\/s.w.org\/images\/core\/emoji\/16.0.1\/72x72\/274c.png\" alt=\"\u274c\" class=\"wp-smiley\" style=\"height: 1em; max-height: 1em;\"> Restricted<\/td>\n<td>Sweepstake model considered too close to gambling<\/td>\n<\/tr>\n<tr>\n<td><strong>Washington<\/strong><\/td>\n<td><img decoding=\"async\" src=\"https:\/\/s.w.org\/images\/core\/emoji\/16.0.1\/72x72\/274c.png\" alt=\"\u274c\" class=\"wp-smiley\" style=\"height: 1em; max-height: 1em;\"> Restricted<\/td>\n<td>Specific ban on sweepstakes\/social casinos<\/td>\n<\/tr>\n<tr>\n<td><strong>Louisiana<\/strong><\/td>\n<td><img decoding=\"async\" src=\"https:\/\/s.w.org\/images\/core\/emoji\/16.0.1\/72x72\/26a0.png\" alt=\"\u26a0\" class=\"wp-smiley\" style=\"height: 1em; max-height: 1em;\"> Under Legal Challenge<\/td>\n<td>Facing lawsuit and legislative attempts to ban<\/td>\n<\/tr>\n<tr>\n<td><strong>Michigan<\/strong><\/td>\n<td><img decoding=\"async\" src=\"https:\/\/s.w.org\/images\/core\/emoji\/16.0.1\/72x72\/2705.png\" alt=\"\u2705\" class=\"wp-smiley\" style=\"height: 1em; max-height: 1em;\"> Allowed<\/td>\n<td>Licensed iGaming already exists alongside sweepstakes<\/td>\n<\/tr>\n<tr>\n<td><strong>New Jersey<\/strong><\/td>\n<td><img decoding=\"async\" src=\"https:\/\/s.w.org\/images\/core\/emoji\/16.0.1\/72x72\/2705.png\" alt=\"\u2705\" class=\"wp-smiley\" style=\"height: 1em; max-height: 1em;\"> Allowed<\/td>\n<td>Same as Michigan; operators still active<\/td>\n<\/tr>\n<tr>\n<td><strong>Other States<\/strong><\/td>\n<td><img decoding=\"async\" src=\"https:\/\/s.w.org\/images\/core\/emoji\/16.0.1\/72x72\/2705.png\" alt=\"\u2705\" class=\"wp-smiley\" style=\"height: 1em; max-height: 1em;\"> Generally Allowed<\/td>\n<td>Most states still permit sweepstakes model<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p><em>(<\/em><em><img decoding=\"async\" src=\"https:\/\/s.w.org\/images\/core\/emoji\/16.0.1\/72x72\/2705.png\" alt=\"\u2705\" class=\"wp-smiley\" style=\"height: 1em; max-height: 1em;\"> Allowed = available, <\/em><em><img decoding=\"async\" src=\"https:\/\/s.w.org\/images\/core\/emoji\/16.0.1\/72x72\/274c.png\" alt=\"\u274c\" class=\"wp-smiley\" style=\"height: 1em; max-height: 1em;\"> Restricted = banned, <\/em><em><img decoding=\"async\" src=\"https:\/\/s.w.org\/images\/core\/emoji\/16.0.1\/72x72\/26a0.png\" alt=\"\u26a0\" class=\"wp-smiley\" style=\"height: 1em; max-height: 1em;\"> Under review = legal dispute or challenge ongoing)<\/em><\/p>\n<p>\u00a0<\/p>\n<p>The post <a href=\"https:\/\/igaming.org\/casino-news\/louisiana-targets-sweepstakes-casinos-with-44-million-tax-lawsuit\/\">Louisiana Targets Sweepstakes Casinos With $44 Million Tax Lawsuit<\/a> appeared first on <a href=\"https:\/\/igaming.org\/\">iGaming.org<\/a>.<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Louisiana has taken direct aim at sweepstakes-style online casinos, launching a lawsuit that could set the tone for how other U.S. states handle the sector. Good to Know Louisiana is suing Virtual Gaming Worlds (VGW) and MW Services for nearly $44M in unpaid taxes. Allegations center on virtual currency sales and failure to remit state [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"om_disable_all_campaigns":false,"footnotes":""},"categories":[],"tags":[],"class_list":["post-9777","post","type-post","status-publish","format-standard","hentry"],"blocksy_meta":[],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/casino-online-best.com\/index.php\/wp-json\/wp\/v2\/posts\/9777","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/casino-online-best.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/casino-online-best.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/casino-online-best.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/casino-online-best.com\/index.php\/wp-json\/wp\/v2\/comments?post=9777"}],"version-history":[{"count":0,"href":"https:\/\/casino-online-best.com\/index.php\/wp-json\/wp\/v2\/posts\/9777\/revisions"}],"wp:attachment":[{"href":"https:\/\/casino-online-best.com\/index.php\/wp-json\/wp\/v2\/media?parent=9777"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/casino-online-best.com\/index.php\/wp-json\/wp\/v2\/categories?post=9777"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/casino-online-best.com\/index.php\/wp-json\/wp\/v2\/tags?post=9777"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}