Bill

H 4128

Mary Lucille Kennedy McDaniel Memorial Road

2025-2026 Regular Session Introduced by John King and 1 co-sponsor

Creates a special commission to study Massachusetts lottery and gambling tax thresholds and propose optimal levels; report due by 12/31/2026 to guide future policy.

Committee report: Favorable Invitations and Memorial Resolutions

WeVote Research Nonpartisan

Bill Summary · H 4128

Summary of H.4128: An Act relative to establishing a commission to study gambling winnings

Purpose and intent

Establishes a special commission to study the threshold amounts for lottery and gambling taxation in the Commonwealth of Massachusetts.
Aims to evaluate current tax thresholds, their economic and revenue impact, and to propose optima for taxation thresholds related to lottery and gambling winnings.
Intended to inform policy and potential legislative changes through data-driven recommendations.

Key provisions

Establishment of a special commission: Created pursuant to section 2A of chapter 4 of the General Laws to study threshold amounts for lottery and gambling taxation.
Composition: The commission includes:
- Co-chairs: Chairs (or designees) of the Joint Committee on Revenue.
- The chair (or designee) of the Massachusetts Gaming Commission.
- The State Treasurer (or designee).
- The Secretary of Administration and Finance (or designee).
- The Commissioner of Revenue (or designee).
- 4 additional members: one appointed by the Speaker, one by the House minority leader, one by the Senate President, and one by the Senate minority leader.
Scope of study: The commission must examine:
- (i) Current lottery and gambling tax thresholds and their effects on the Commonwealth.
- (ii) Economic implications of those thresholds.
- (iii) Comprehensive data on threshold amounts to inform policy decisions.
- (iv) Recommendations for more optimal lottery and gambling tax thresholds.
Report: The commission must prepare and submit a report detailing findings, recommendations, and any proposed standards and legislation necessary to implement its recommendations. The report must be delivered to:
- Joint Committee on Revenue
- House Ways and Means and Senate Ways and Means
- Clerks of the House and Senate
- Deadline: no later than December 31, 2026.

Status and timeline

Introduced: May 12, 2025
Referred to: Committee on Revenue (May 12, 2025)
Senate action: Senate concurred (May 15, 2025)
Hearing dates: The hearing has been scheduled and rescheduled multiple times; most recently set for November 18, 2025 (with updates indicating changes to time, location, and end time).
- Note: The hearing location and times have been altered several times, reflecting ongoing scheduling adjustments.
Emergency operation: The act includes an emergency preamble, indicating immediate effect is intended to preserve public convenience upon passage.

Related measures

Related House Bill: HD 3906 (replaces) — the version referenced in the bill materials.

Potential impact

The bill does not directly change tax rates or thresholds today but creates a formal mechanism to study and evaluate them.
Outcomes could inform future Massachusetts tax policy on lottery and gambling winnings, potentially shaping threshold levels, compliance, revenue projections, and related legislation.
By involving high-level fiscal officers and legislators, the commission’s work is positioned to influence both revenue forecasting and legislative reforms.

Who is affected

State government: relevant agencies (Revenue, Administration and Finance, the Treasurer, the Gaming Commission) and the General Court.
Tax policy stakeholders: entities affected by lottery and gambling tax thresholds, including taxpayers and operators in the Commonwealth.
General public: potential long-term changes to how gambling winnings are taxed, depending on the commission’s recommendations.

Compiled from official sources — confirm details with the bill’s official record.