DraftKings CEO Criticizes Gambling Provision In Trump's OBBBA

DraftKings CEO Jason Robins slammed a brand-new tax provision in President Donald Trump's proposed megabill, calling it "very weird" and illogical. Robins questioned why gamblers should pay income tax on cash that isn't real revenue.


- DraftKings CEO says does not make good sense.
- The OBBBA avoids bettors from subtracting 100% of their losses.
- DraftKings states it's dealing with lawmakers to nix the arrangement.


"I do think it's something that does not makes good sense," Robins informed CNBC's Jim Cramer. "If you can't subtract all your losses, you know, how does that make good sense that you pay income tax on something that's not in fact earnings."


The arrangement, highlighted in the GOP's One Big Beautiful Bill Act (OBBBA), would avoid gamblers from subtracting 100% of their losses from their payouts, which was previously thought about standard practice. Under the new rule, only 90% of losses can be subtracted, implying that even a break-even bettor still owes taxes.


Robins attributed the modification to a budget plan reconciliation technicality referred to as the Byrd guideline and included that DraftKings is working with lawmakers to reverse the provision.


Congress introduces FAIR BET Act to fight Trump costs


DraftKings isn't alone in opposing Trump's megabill. Nevada Congresswoman Dina Titus has presented the FAIR BET Act to counter the questionable change in betting tax policy.


The brand-new rule sparked a backlash from industry professionals who argue the OBBBA unfairly burdens taxpayers and dissuades transparent reporting. The FAIR BET Act, co-sponsored by Rep. Ro Khanna of California, seeks to restore the previous guideline, which allows 100% of betting losses to be subtracted from winnings.


Titus condemned the wagering tax provision, stating Senate Republicans placed it without House permission and that it might drive bettors toward unregulated markets. Titus insists her expense ensures fairness for all wagerers and promotes responsible betting through legal operators.


DraftKings reports positive Q2 earnings


DraftKings, meanwhile, reported its second-ever rewarding quarter as a public business, leading to a 7% jump in stock worth in after-hours trading on Wednesday. The business published $1.51 billion in revenue for Q2 2025, going beyond expert expectations of $1.43 billion.


Robins credited the business's success to strong client engagement, effective acquisition methods, and favorable wagering outcomes. He expressed optimism about the continued legalization of sports betting throughout the U.S., expecting major markets, such as Texas and California, will be consisted of.