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Why dfs is not gambling
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While the memo clearly does not mean that the federal government writ large considers dfs to be a form of gambling, the irs is attempting to treat dfs entries as “wagers. Note: the author is the coo of star fantasy leagues. The foundation of the burgeoning fantasy sports industry in the usa is built on the premise carved out in the 2006 uigea that companies offering daily, weekly, or season-long fantasy sports contests are operating games of skill, and therefore are not subject to federal gambling laws. The enactment of the dfs-friendly statute came more than a year after the former vermont attorney general concluded that daily fantasy constituted illegal gambling under state law. The states where yahoo! daily fantasy blocks players are: arizona, alabama, florida, hawaii, idaho, iowa, louisiana, missouri, montana, nevada and washington state. In florida, that may be a reaction to a legal climate that some observers consider unfriendly to dfs. In a private letter ruling, the irs concluded that daily fantasy sports are gambling transactions. While this will allow players to deduct entry fees, it is bad news for dfs operators. But attorneys general like eric schneiderman disagreed, necessitating either the courts or the legislature to clarify how new york law viewed dfs. Jul 28, 2015 it’s no mystery why fanduel and draftkings would argue that dfs is a skill game and therefore not gambling, even if the argument is non sequitur: it is in their best interest to do so Game Features – Free 5,000,000 free coins to get started – Play FREE, why dfs is not gambling.
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