Dana White Urges Trump to Reverse Gambling Tax Rule

Dr. Annelies De Vos · 2026-05-14

Dana White, the UFC president and CEO, has formally asked President Donald Trump to back efforts to overturn a federal tax rule that limits how much gamblers can deduct for losses. In a letter dated May 11, White argued that the policy, part of the One Big Beautiful Bill Act passed in 2025, is hurting bettors, businesses, and the legal sports betting industry. This change affects anyone who places bets, from casual fans to serious players. ### What the Tax Rule Change Means Before the 2025 law, gamblers could deduct their losses up to the amount of their winnings. This made it easier to offset taxes on gambling income. But the new rule caps those deductions, making it harder for bettors to break even on their taxes. For example, if you won $2,000 but lost $2,500, you used to deduct the full $2,500. Now, you might only deduct a portion, leaving you with a bigger tax bill. - **Old rule**: Deduct losses up to winnings, dollar for dollar. - **New rule**: Limits loss deductions, reducing tax benefits. - **Impact**: Bettors pay more taxes on net winnings, even if they lose overall.  ### Why Dana White Is Speaking Out White, a longtime Trump ally, sees this as a threat to the growing sports betting industry. Legal betting has exploded in the U.S., with millions of people placing bets on sports like football, basketball, and UFC fights. He believes the tax change could push bettors back to illegal markets, where there's no oversight or consumer protection. "This isn't just about taxes," White wrote in his letter. "It's about keeping the industry safe and fair."  ### The Broader Impact on Gamblers For casual bettors, the rule change can feel confusing. Imagine you place a few bets during the Super Bowl and win $500 but lose $600. Under the old rules, you'd deduct the $600 loss, so your taxable income from gambling is zero. Now, you might owe taxes on that $500 win, even though you lost money overall. This creates a disincentive to gamble legally, which hurts states that rely on tax revenue from sports betting. > "The tax rule is a step backward for an industry that's brought billions in revenue and jobs," said a gaming analyst. "It punishes the very people who make legal betting possible." ### What's Next for the Gambling Tax Rule White's letter is part of a larger push by the gaming industry to get the rule reversed. Some lawmakers in Congress have already introduced bills to restore the old deduction system. But with Trump's support, the effort could gain momentum. For now, bettors should consult a tax professional to understand how the change affects their specific situation. The industry hopes that by working with the White House, they can find a solution that keeps legal betting thriving. In the end, this fight is about fairness. Whether you're a high-stakes bettor or just someone who enjoys a weekend wager, the tax rules should make sense. White's call to action might be the first step in fixing a policy that many see as broken.