UFC CEO Dana White Urges Trump to Reverse Sports Betting Tax Deduction Rule

(AsiaGameHub) –   UFC president and CEO Dana White has weighed in on the ongoing debate over US gambling taxation, urging Donald Trump to support changes to a contentious provision enacted last year. White contacted the White House on May 11, formally requesting assistance to repeal a rule limiting the amount of betting losses that can be deducted from taxable income.

UFC Chief Highlights Unintended Consequences of Gambling Tax Rule

The policy, included in the comprehensive One Big Beautiful Bill Act, reduced the deductible allowance from 100% of losses to 90%. Industry leaders noted that this change had unintended effects on both casual bettors and professionals. Under current rules, individuals who break even or incur overall losses may still face tax obligations on certain activities.

White stated in his message that while he recognized the economic goals behind the legislation, this specific provision was causing harm. He explained that the policy distorts gambling decisions and reduces the appeal of participating in regulated markets. The concern is that the rule could deter legal betting altogether, driving some bettors toward unregulated alternatives.

The UFC executive also emphasized broader business implications. He stressed the importance of maintaining a stable and transparent betting environment to support audience engagement and commercial partnerships. Reduced activity in licensed markets, he warned, could damage long-standing relationships with regulators and operators, as well as diminish sponsorship and broadcast value.

Betting Rule Raises Economic Worries Beyond the Gaming Sector

Another issue is the ripple effect on related industries. Lower gambling participation could lead to reduced discretionary spending, including tips—a matter that intersects with other policy issues affecting service industry workers, according to White. However, he framed the situation as one where a minor tax adjustment could jeopardize larger economic objectives.

The deduction cap has been a subject of controversy since the law passed in 2025. Bipartisan efforts have been made to restore the original 100% deduction, but no bill has reached a full congressional vote. Advocacy groups, including those representing the gaming sector, continue to lobby for reform, arguing the current system generates what they describe as artificial taxable income.

White’s intervention stands out as one of the most high-profile appeals from the sports world on this issue. His close alignment with Trump adds a political dimension to the push for reform, as supporters believe presidential backing could accelerate legislative progress. To date, however, the administration has not issued an official response, and the future of the provision remains unclear.