PA Skill Games: 20% vs 35% vs 52% Tax Gap

United Gaming Advisors / Monte Cristo Gaming — October 2, 2026

Key Takeaways for Gaming Operators and Advisors

11 days remain before the Pennsylvania Supreme Court's October 13 skill-games cutoff.
The rate gap is the real obstacle. Rep. Diamond's plan is 20%; Senate leadership has backed 35%; Gov. Shapiro has suggested 52%, per reporting through September 28–30.
Pittman's words: a regulatory path "makes sense," but "whether we can get there is a very open question."
No committee action found on any bill, including the HB 2793/HB 2795 extension bills.
Chicago: the Illinois Gaming Board still lists 64 licensed and 287 pending establishments.

Yesterday we covered the Senate leader's skepticism. Today the question is why: the three players aren't close on the number.

Three rates. Rep. Dan Diamond's plan, reported by Local 21 on September 30, would tax skill games at 20% and cap locations at five machines (we have not confirmed a bill number). The Pennsylvania Capital-Star reported September 28 that Senate leadership has supported a 35% tax, while Gov. Shapiro has suggested 52%. The parties also disagree on where revenue goes: the general fund or public transit. Reporting did not date when the 35% and 52% positions were first floated, so read them as the positions on the table as of late September.

Why the gap matters for operators. Each rate implies a very different business. Pittman himself noted that small businesses like laundromats and convenience stores depend on skill-games revenue and that heavy taxation could hurt them. A deal near 20% and a deal near 52% change location-level economics, route agreements and machine-count decisions. Running scenarios now beats guessing after a vote.

The calendar. PoliticsPA's October 1 playbook notes lawmakers returned September 28 after a ten-week recess; the court ruled June 15 that skill games are slot machines and the 120-day safe harbor ends October 13. Outlets disagree on how many session days remain (three to eleven). We aren't picking one.

What operators should do. Enforcement messaging is unchanged: the Attorney General and State Police say machines must be physically removed. Whatever the legislature does, have removal logistics, customer and staff communications, and a financial model for each tax scenario ready.

Chicago: counts unchanged

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