Theory and Practice of Excise Taxation: Smoking, Drinking, Gambling, Polluting, and Driving

By Sijbren Cnossen | Go to book overview

Chapter 4 Gambling Taxes

Charles T. Clotfelter * Duke University


4.1 INTRODUCTION

With deep roots in history and dozens of modern manifestations, gambling is an activity that governments have typically either forbidden or taxed. Governments in most parts of the world use it to raise revenue, though the amounts raised are paltry in comparison with the mainstays of modern tax systems. As a form of personal expenditure, gambling has grown rapidly in many countries over the past four decades. This growth has been fuelled by new forms of commercial gambling and by increasing social acceptance of the activity itself. Because gambling has historically existed under a cloud of unrespectability, if not outright condemnation, and because governments have correspondingly outlawed it, or legalized it only with reluctance, the point must be made from the start that its taxation cannot be separated wholly from its legalization and regulation. The history of governments' policies towards gambling suggests that most societies cannot tolerate legalization of gambling without its regulation. So, while it is not the purpose of the present chapter to discuss aspects of the regulation of gambling, it will be important in applying norms of welfare economics to gambling taxation to recall that taxation is inextricably bound up with legalization and regulation.

As one chapter in a volume examining various aspects of excise taxation, the present chapter addresses the taxation of gambling. But not all the revenue-raising devices associated with gambling are strictly excise taxes, although most serve the same function. For that reason, this chapter considers not only conventionally defined excise taxes (levied on expenditures by betters or on receipts by operators) but also the profits made by government-operated gambling. By conventional public accounting standards, such profits are not strictly taxes. But since they serve essentially the same function, they are referred to in the present chapter as implicit taxes. 1 These distinctions are discussed at greater length in this chapter.

-84-

Notes for this page

Add a new note
If you are trying to select text to create highlights or citations, remember that you must now click or tap on the first word, and then click or tap on the last word.
One moment ...
Default project is now your active project.
Project items

Items saved from this book

This book has been saved
Highlights (0)
Some of your highlights are legacy items.

Highlights saved before July 30, 2012 will not be displayed on their respective source pages.

You can easily re-create the highlights by opening the book page or article, selecting the text, and clicking “Highlight.”

Citations (0)
Some of your citations are legacy items.

Any citation created before July 30, 2012 will labeled as a “Cited page.” New citations will be saved as cited passages, pages or articles.

We also added the ability to view new citations from your projects or the book or article where you created them.

Notes (0)
Bookmarks (0)

You have no saved items from this book

Project items include:
  • Saved book/article
  • Highlights
  • Quotes/citations
  • Notes
  • Bookmarks
Notes
Cite this page

Cited page

Style
Citations are available only to our active members.
Sign up now to cite pages or passages in MLA, APA and Chicago citation styles.

(Einhorn, 1992, p. 25)

(Einhorn 25)

1

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Cited page

Bookmark this page
Theory and Practice of Excise Taxation: Smoking, Drinking, Gambling, Polluting, and Driving
Table of contents

Table of contents

Settings

Settings

Typeface
Text size Smaller Larger Reset View mode
Search within

Search within this book

Look up

Look up a word

  • Dictionary
  • Thesaurus
Please submit a word or phrase above.
Print this page

Print this page

Why can't I print more than one page at a time?

Full screen
/ 255

matching results for page

Cited passage

Style
Citations are available only to our active members.
Sign up now to cite pages or passages in MLA, APA and Chicago citation styles.

"Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn, 1992, p. 25).

"Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

"Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences."1

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Cited passage

Welcome to the new Questia Reader

The Questia Reader has been updated to provide you with an even better online reading experience.  It is now 100% Responsive, which means you can read our books and articles on any sized device you wish.  All of your favorite tools like notes, highlights, and citations are still here, but the way you select text has been updated to be easier to use, especially on touchscreen devices.  Here's how:

1. Click or tap the first word you want to select.
2. Click or tap the last word you want to select.

OK, got it!

Thanks for trying Questia!

Please continue trying out our research tools, but please note, full functionality is available only to our active members.

Your work will be lost once you leave this Web page.

For full access in an ad-free environment, sign up now for a FREE, 1-day trial.

Already a member? Log in now.