Illinois Lawmaker Revives Online Casino Bill for 2026

State Rep. Edgar Gonzalez Jr.’s struggle to see legal online casinos in Illinois goes on, as the legislator has refiled the Internet Gaming Act for the 2026 legislative session. 

The bill’s language has remained essentially the same from last year’s version, with the mention that the legislation never actually made it out of committee.

In earlier sessions, the effort was paired with a Senate companion bill from Sen. Cristina Castro, and this is likely to happen again this year.

Same Financial Framework

At its core, the bill would allow regulated online casino games across Illinois, including slots, table games, poker, and live-dealer offerings, all overseen by the Illinois Gaming Board. 

The state also currently boasts close to 8,700 licensees that own and operate 48,700 Video Gaming Terminals statewide. 

Supporters believe the bill could turn Illinois into one of the largest iGaming markets in the country, especially given how strong sports betting already is in the state.

House Bill 4797 would formally create the Internet Gaming Act and define internet games as online versions of traditional casino gambling. Only licensed operators following Gaming Board rules would be allowed to offer them.

The financial framework mirrors what Illinois lawmakers have seen before. Operators would pay a 25% privilege tax on adjusted gross gaming revenue, with all proceeds going into the State Gaming Fund. 

Cities and towns would not be allowed to add their own iGaming taxes. Each casino or racetrack license holder could operate up to three online brands, which could mean as many as 51 platforms statewide, with licensing fees ranging from $250,000 for an initial license to $75,000 for suppliers. 

The Gaming Board would also be required to move quickly, adopting emergency rules within 90 days if the bill passes.

Responsible Gaming and Labor Concerns

Responsible gaming is a major focus of the bill. Operators would need to verify age, identity, and location, making sure players are at least 21 and physically in Illinois. 

Platforms would also have to offer self-exclusion, spending limits, and clear messaging at every login, including the required line: “If you or someone you know has a gambling problem, help is available. Call (toll-free telephone number).”

One provision aimed squarely at labor concerns has also returned. The bill blocks licenses for operators that cut their retail workforce by 25% or more. 

As the bill states: “The Board may not issue an Internet gaming license to an owner’s licensee or organization licensee that has reduced the size of its workforce by 25% or more since February 28, 2020.”

Last year’s version stalled after a single committee hearing. Supporters pitched it as a way to raise new tax revenue, while opponents warned it would drain jobs and money from physical casinos and video gaming terminals. Those same forces are still in place today.

For now, the 2026 filing shows determination, not momentum. The policy details are settled, and the real question is whether lawmakers are ready to take on the political resistance that stopped this bill before.