Daily Fantasy Sports temporary permits will be expiring soon in Massachusetts and lawmakers are unsure if a permanent option will be available for operators.

State lawmakers are studying DFS activities with opinionated testimony being given this week with the Special Commission on Online Gaming, Fantasy Sports Gaming and Daily Fantasy Sports.

Many questions have been asked regarding the impact DFS activities would have on the state. Some of these questions concern the tax rate. Proposed legislation would impose a 15% tax on all gross gaming revenues from DFS activities which is right on que with other states offering DFS.

Lawmakers noted that there will be a smaller operating margin for daily fantasy sports when it comes to the tax rate. When comparing the current 49% for slot parlors and 25% on land-based casino activities, DFS is on the lower scale. It was also noted that all gambling activities were taken into consideration when calculating the tax percentages and the 15% seemed to be a fair amount.

The proposed bill, if passed, will permanently legalize DFS under Massachusetts regulations. The Massachusetts Gaming Commission will oversee all DFS activities, the same as horse racing and casino gambling.