Illinois lawmakers are gearing up for another round of debate over legal online casinos, and the conversation feels a lot like déjà vu.
State Rep. Edgar Gonzalez Jr. has dusted off his Internet Gaming Act and reintroduced it for the 2026 legislative session, keeping nearly every detail from last year’s version intact. The previous attempt never made it out of committee, but Gonzalez is clearly not ready to let the idea fade away.
The proposal would open the door to regulated online slots, table games, poker, and live‑dealer titles, essentially giving Illinois residents a full digital casino experience under the Illinois Gaming Board’s oversight.
Supporters see it as a natural next step for a state that already thrives in sports betting and video gaming terminals. Critics, meanwhile, worry about job losses, market cannibalization, and the impact on thousands of small businesses that rely on VGT revenue.
Even though the bill hasn’t gained momentum yet, its return signals that the fight over online gambling in Illinois is far from over.
Offshore Casinos Dominate The IL Market
While Illinois continues to debate whether to legalize online casinos, players aren’t exactly waiting around. Offshore casino sites, those based outside U.S. jurisdiction, remain the go‑to option for many Illinois residents who want to play real‑money slots or table games online.
Offshore casinos typically offer:
- Large slot libraries with thousands of titles
- Live‑dealer blackjack, roulette, and baccarat
- Crypto-friendly banking options
- Fast payouts compared to domestic sportsbooks
- Big welcome bonuses that dwarf what regulated markets usually offer
Of course, one of the main arguments behind Gonzalez’s push is that if people are already gambling online, the state might as well regulate it, tax it, and ensure players are protected by state regulations.
If Illinois ever legalizes iGaming, offshore platforms will face stiff competition from licensed operators tied to existing casinos and racetracks. But until lawmakers agree on a path forward, offshore casinos will continue filling the gap.
Current Gambling Laws
Illinois already has a robust gambling ecosystem, but online casinos remain off-limits under state law. Here’s where things stand today:
What’s Legal
- Retail casinos: The state has several full-service casinos offering slots, table games, poker rooms, and entertainment.
- Sports betting: Both retail and online sportsbooks are fully legal and thriving.
- Video Gaming Terminals (VGTs): Nearly 8,700 licensees operate more than 48,000 machines statewide, making Illinois one of the biggest VGT markets in the country.
- Online sports betting: Regulated and widely available through major national brands.
What’s Not Legal
- Online casino gambling: No state-regulated online slots, blackjack, roulette, or poker.
- Online poker rooms: Still prohibited under state law.
What the New Bill Proposes
Rep. Gonzalez’s revived bill would create the Internet Gaming Act, allowing licensed casinos and racetracks to operate up to three online casino brands each. In total, Illinois could see as many as 51 online platforms if every eligible operator participates.
Key details from the proposal include:
- 25% tax rate on adjusted gross gaming revenue
- Licensing fees starting at $250,000 for operators and $75,000 for suppliers
- Strict responsible gaming requirements, including ID verification, geolocation, spending limits, and mandatory help-line messaging
- Labor protections preventing licenses for operators who have cut 25% or more of their retail workforce since early 2020
- Emergency rulemaking requiring the Gaming Board to act within 90 days if the bill passes.
The bill stalled last year due to concerns about job losses and the impact on VGT revenue, two issues that haven’t gone away. Supporters argue that Illinois is losing tax revenue and that offshore casinos are dominating the market. Opponents say the state’s existing gambling structure is already stretched thin.
For now, the refiled bill shows determination, not certainty. The real test will be whether lawmakers are finally ready to take on the political pushback that stopped the proposal before.