State wants to cash in on sweepstakes parlors - WBTV 3 News, Weather, Sports, and Traffic for Charlotte, NC

State wants to cash in on sweepstakes parlors

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CHARLOTTE, NC (WBTV) - It's House Bill 1180. It targets sweepstakes parlors by taxing them so the state can generate millions of dollars and the bill will help tighten the gambling industry.  

"To gain some control over an industry," Representative Bill McGee said. "Which is at the present time is uncontrolled."

McGee also wants some of the money to offer companies a tax break when moving to North Carolina.

"A portion will go to provide tax relief," the representative said. "For those corporate entities to provide jobs for our citizens."

The bill reads the state would impose a business license fee of $2,000 per year and a $1,000 tax on each machine a business owns.

"$1000 is a little high per year per machine."  Business Owner Tom Wicker said.

Wicker owns three sweepstakes parlors in Charlotte.  He doesn't mind getting taxed but thinks the state should rethink how much they should charge.  He thinks $1,000 per machine is too much.  He says he could live with $500 per machine.

He is also concerned that House Bill 1180 calls for county and city governments having the authority to tax sweepstakes parlors too.  

"The county and the city need to work together with the state," Wicker said. "Where it's not over- tax and put them out of business. You can over-tax, North Carolina is famous for that."

With the added tax the state could generate between $98-$329 million each year from the Sweepstakes parlors.

Wicker says there are lobbyists in Raleigh representing sweepstakes parlor owners so the proposed legislation is fair to his colleagues.

State lawmakers could vote on the bill by July 2nd, but if it doesn't have enough support, House Bill 1180 could make a comeback next year.

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