HB 4797: Inside the New Push for Illinois Online Poker

How Illinois Got to House Bill 4797

Illinois isn’t exactly a stranger to gambling expansion. Since 2019, the state has gone through a massive transformation: sports betting went live, video gaming terminals (VGTs) are in every corner bar, and the long-awaited Bally’s Chicago project is slowly taking shape. However, online casinos and poker, collectively referred to as iGaming, have been the “third rail” of Illinois politics. Previous bills stalled out between 2023 and 2025, largely due to fears from labor unions and regional casino owners. So, why try again now?

Well, according to experts, there are two main reasons.

1. The Budget Gap: Illinois is staring down a projected $2.2 billion deficit for the 2026 fiscal year.
2. Tax Precedent: The state already hiked sports betting taxes in 2025, meaning lawmakers are now looking for a fresh revenue stream.

And What It Actually Proposes

House Bill 4797 is written as a full-scale Internet Gaming Act. That means that if it passes, it would legalize online versions of slots, table games, and most importantly for our readers, online poker. As far as how that’s actually worded, it boils down to this:

• The Taxes: A 25% privilege tax on all adjusted gross revenue.
• The Setup: Each of the state’s existing licensed casinos and racetracks could partner with up to three online platforms (skins).
• The Cost of Entry: A $250,000 initial license fee with a $100,000 renewal every few years.
• Server Locations: For the first year, servers can be anywhere in the U.S., but after that, they must be physically moved into Illinois.

For poker players, the biggest win here would be the potential for Illinois to join MSIGA (the Multi-State Internet Gaming Agreement). Since the state has a population of nearly 13 million, Illinois would instantly become the largest state in the compact.

What’s the Holdup?

The biggest hurdle for iGaming in Illinois has always been the fear that online play will “kill” the local brick-and-mortar casinos. To fix this, HB 4797 includes a very specific, and controversial, workforce protection clause.

House Bill 4797

The 25% Rule: The Illinois Gaming Control Board would be prohibited from licensing any casino that has reduced its workforce by 25% or more since February 2020.

However, for now HB 4797 is just a bill on a desk and the 25% rule is just a suggestion. This bill still a long way from being signed into law but we’ll be there as the story develops.