Gambling is legal in Massachusetts in several regulated forms: casino gaming, a state lottery, charitable raffles, sports betting, pari-mutuel horse racing, and daily fantasy sports. Each is authorized by statute, overseen by a state agency, and carries its own age limits and tax rules. Everything outside those licensed channels is a crime under Chapter 271 of the General Laws.
What Forms of Gambling Are Legal
The Massachusetts Expanded Gaming Act, signed in 2011, authorized resort casinos and a standalone slot facility and created the Massachusetts Gaming Commission to license and oversee them.1General Court of Massachusetts. Massachusetts Acts 2011 Chapter 194 – An Act Establishing Expanded Gaming in the Commonwealth Two Category 1 casinos operate today, MGM Springfield and Encore Boston Harbor, and Plainridge Park Casino holds the single Category 2 slot parlor license.
The Massachusetts State Lottery has been running since 1971 and sells scratch tickets, draw games, and Keno under the Massachusetts State Lottery Commission.2Massachusetts Lottery. Mass Lottery History
Nonprofits can run raffles and casino nights under Chapter 271, Section 7A. Only nonprofits qualify, and the organizer has to get a permit from the local city or town clerk. The state takes 5% of the gross gambling proceeds from the event; non-gambling pieces, like a silent auction or dinner, aren’t taxed.3Mass Lottery Helpdesk. Charitable Gaming Tax Information
Sports betting became legal in 2022 under Chapter 23N.4Mass.gov. Massachusetts General Laws c.23N – Authorization and Regulation of Sports Wagering You can bet in person at Encore Boston Harbor, MGM Springfield, and Plainridge Park, or online through operators including DraftKings, FanDuel, BetMGM, and Caesars Sportsbook.5Massachusetts Gaming Commission. Sports Wagering Licensees Wagers on Massachusetts-based college teams are prohibited, with a narrow exception for postseason tournament games.
Pari-mutuel wagering on horse races is still legal under Chapter 128A, though that statute is scheduled to expire on December 15, 2027 and has been extended repeatedly in the past.6General Court of Massachusetts. Massachusetts General Laws Chapter 128A, Section 5 Plainridge Park offers simulcast racing. Dog racing is prohibited.
Daily fantasy sports contests are legal and regulated, with DraftKings, FanDuel, and PrizePicks among the active operators.
How Old You Have to Be
You must be at least 21 to enter the gaming floor or place a wager at any Massachusetts casino or slot parlor. Regulations require each licensee to keep anyone under 21 from gambling or entering the gaming area, with narrow exceptions for licensed employees 18 and older.7Legal Information Institute. 205 CMR 150.01 – Preventing Gambling and Entry to Gaming Area by Underage Persons The 21 minimum also applies to sports betting and daily fantasy contests. Lottery tickets can be bought at 18.
Taxes on Gambling Winnings
Massachusetts
Winnings are taxable income. Prizes from the lottery, raffles, races, beano, and other games of chance are taxed at the state’s flat 5% income tax rate.8Mass.gov. TIR 79-6 – Income Taxation of Gambling Winnings If your total income for the year goes over $1 million, the state’s additional 4% surtax applies to the amount above that threshold.
Federal
All gambling winnings are federally taxable, no matter the size. Once winnings cross certain thresholds, the payer reports them on IRS Form W-2G. For 2026, the minimum reporting threshold across gambling categories is $2,000, and for many wager types the winnings also have to be at least 300 times the amount wagered.9Internal Revenue Service. Instructions for Forms W-2G and 5754 (01/2026) Federal income tax is withheld at a flat 24% when net winnings exceed $5,000 from sweepstakes, wagering pools, lotteries, or wagers that pay at least 300-to-1.
You can deduct gambling losses on your federal return, but only if you itemize on Schedule A. The deduction can’t exceed the gambling income you reported, and you need detailed records of both sides to claim it.10Internal Revenue Service. Topic no. 419, Gambling Income and Losses Nonresident aliens who aren’t Canadian residents generally can’t deduct gambling losses at all.
When Gambling Becomes Illegal
Chapter 271 criminalizes gambling activity that falls outside licensed channels, and the penalties scale with the person’s role. Some of the fine amounts date to the original statute and look small today; the prison terms are the serious piece.
Organizers face the harshest exposure. Anyone who knowingly organizes, supervises, manages, or finances a gambling operation involving four or more people can be sentenced to up to 15 years in state prison, fined up to $10,000, or both. The statute specifically carves out casual bettors; it’s aimed at the people running the operation.11General Court of Massachusetts. Massachusetts General Laws Chapter 271, Section 16A
Promoting an illegal lottery, or disposing of property through a gambling scheme, carries a fine of up to $3,000 or up to three years in state prison (or up to two and a half years in a house of correction). The same penalty reaches anyone who helps set up, manage, or draw the lottery.12General Court of Massachusetts. Massachusetts General Laws Chapter 271, Section 7
Keeping or helping to keep an illegal gambling house draws a lighter sentence: a fine of up to $50 or up to three months in jail.13General Court of Massachusetts. Massachusetts General Laws Chapter 271, Section 5 An individual bettor convicted of winning $5 or more at illegal gaming forfeits double the value of those winnings.14General Court of Massachusetts. Massachusetts General Laws Chapter 271, Section 1
Self-Exclusion
Massachusetts runs a voluntary self-exclusion program through the Gaming Commission. If you recognize a gambling problem, you can file a statement with the Commission to be added to the self-excluded persons list. Once you’re on it, you agree not to collect winnings or recover losses at any licensed establishment. Winnings earned anyway are forfeited to the Commission and deposited into the Gaming Revenue Fund.15General Court of Massachusetts. Massachusetts General Laws Chapter 23K, Section 45
Casinos can’t market to people on the list and have to cut them off from check-cashing, loyalty programs, and complimentary offers. The list itself isn’t public, though casinos may share it with affiliated establishments in other states for responsible-gaming enforcement. A casino that knowingly or recklessly fails to exclude a listed person can be fined or lose its license.
Who Regulates Gambling in Massachusetts
The Massachusetts Gaming Commission oversees casinos, slot parlors, sports betting, and daily fantasy sports. It issues licenses, runs background investigations, monitors operations, and enforces compliance.
The Massachusetts State Lottery Commission operates separately and runs all lottery games and charitable gaming oversight.16Mass.gov. About the Massachusetts State Lottery
Criminal enforcement against illegal operations falls to the Massachusetts Attorney General’s Office, working with local and state police to prosecute violations under Chapter 271 and related statutes.