Dana White Writes Trump Directly to Restore Gambling Loss Tax Deduction

^{The current gambling loss deduction was the subject of a recent letter from UFC President Dana White to President Donald Trump. (Photo: Daniel Torok / White House / ZUMA Press Wire)}

UFC President Dana White is calling on President Donald Trump to reverse a tax change that White says harms gamblers, the gaming industry, and sports organizations like his own. 

In a personal letter first reported by Dustin Gouker, Dana White implored the U.S president to bring back the gambling loss tax reduction that was included in the One Big Beautiful Bill Act (OBBBA) last year.

Smaller Deduction ‘Irrational’ According to White

Historically, individuals have had the ability to deduct any and all gambling losses on their taxes, up to a maximum of the amount they’ve claimed in gambling winnings that year. Under that system, a taxpayer who won $10,000 but also lost $10,000 would not deal with an increase in their taxable income for that year.

But the OBBBA changed that, thanks to a provision that reduced the gambling loss deduction to only 90%. In the prior example, that gambler would only be able to deduct $9,000 of their $10,000 in gambling losses, leaving them responsible for paying taxes on $1,000 in “winnings” despite breaking even for the year. 

Under the new calculation, even net losers might owe taxes on some of their winnings, while winners and professional gamblers could see their margins reduced significantly.

White addressed these issues in his letter to President Trump, sent on May 11:

“The current law makes it irrational to bet in the United States because you could end up owing taxes even when you lose or having a tax bill that exceeds your winnings for the year,” the letter reads. “Furthermore, this has the impact of setting back your signature policy No Tax on Tips which greatly benefits Nevadans because gamblers who win big, tip big, but now that this 90% limitation exists gamblers are likely to be less generous if they even gamble at all.”

Congress Yet to Vote on Restoring Full Deduction

White also claimed that the deduction limit will have negative impacts on sports organizations, including on the integrity of competition.

“The UFC supports a healthy, legal sports betting market to drive fan engagement, broadcast value, and sponsorships,” White wrote. “When legal betting is discouraged, it hurts the ecosystem we’ve spent years building in partnership with state regulators and licensed operators. It also undercuts the transparency and integrity protections that legal betting provides for professional sports.”

Some lawmakers – particularly those in major gambling markets like Nevada – have attempted to address the issue. Rep. Dina Titus (D-Nevada) introduced legislation to restore a 100% deduction on gambling losses, though that bill hasn’t gained much traction yet. 

Titus responded publicly to White's letter on X Wednesday morning, welcoming the added pressure on the White House.

On the opposing side, a conservative think tank founded by former Vice President Mike Pence has lobbied to keep the 90% rule in place.

In a statement, the American Gaming Association said it supported White’s efforts to “raise awareness about the negative impacts this issue has not only on bettors, but also on businesses and jobs connected to the legal gaming ecosystem.”

“Restoring the 100 percent gambling loss deduction remains a top priority for the AGA, and we continue to actively engage with Congress and the administration to support a legislative solution,” AGA Senior Vice President of Government Relations Chris Cylke said in a statement to ESPN.