Illinois lawmakers are reopening discussions around legalizing online casino gaming, reviving a debate that has surfaced repeatedly in recent legislative sessions. The latest proposal would allow iGaming in addition to the state’s existing sports betting framework.
The renewed effort to legalize online casino gaming is being led by Edgar González Jr., who has filed House Bill 4797 to establish a formal framework for iGaming in Illinois.
The proposal, titled the Internet Gaming Act, would authorize real-money online casino games and allow existing gaming license holders to collaborate with as many as three approved iGaming platform providers.
The legislation closely mirrors a measure González introduced during the 2025 session, underscoring lawmakers’ continued interest in revisiting the issue despite previous setbacks.
By reintroducing a familiar structure, supporters appear to be building on prior discussions as they attempt to advance iGaming alongside Illinois’ already established sports betting market.
A central focus of the Illinois proposal is minimizing the potential impact of online casino gaming on existing brick-and-mortar casinos and their workforce.
Under the bill, iGaming revenue would be taxed at 25% of adjusted gross revenue, with operators permitted to subtract promotional credits and free-play incentives before taxes are applied. The legislation also sets a $250,000 upfront licensing fee for iGaming operators, along with a $100,000 renewal fee.
Beyond taxes and fees, the bill introduces workforce-related conditions aimed at protecting casino employment. The Illinois Gaming Control Board would be barred from issuing or renewing an online gaming license for any casino operator that has reduced its workforce by 25% or more since late February 2020.
The restriction is designed to discourage companies from shifting operations online at the expense of in-person jobs.
This strategy is designed to appease all parties involved, giving the bill a better chance at getting passed.
Creating a regulated iGaming market is essential to keeping players within a system that offers meaningful consumer protections. Without a legal option, many players turn to offshore online casinos that operate outside U.S. jurisdiction.
Those platforms are not subject to state oversight, responsible gaming requirements, or clear dispute resolution standards, leaving players with limited recourse if issues arise.
By legalizing and regulating iGaming, states like Illinois can provide safer alternatives that require identity verification, enforce fair-play standards, and offer responsible gambling tools such as self-exclusion and deposit limits.
A regulated framework also allows regulators to monitor activity, identify problematic behavior, and ensure operators comply with consumer protection rules, which is more difficult to achieve when gambling activity takes place offshore.
