Why Doesn’t Nevada Have a State Lottery? Will They Have a Lottery In The Future?

Note: *The following article is purely for fun. It is based on individual opinions and does not constitute advice. The drawing of lottery numbers is entirely random. Please always gamble responsibly. #Ad. Find out more on our How Our Site Works page.

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Across the globe, when you hear the lottery name "Powerball" it’s synonymous with America. Unfortunately, not even everyone in the US can easily play this and many other lottery games. What’s the reason and is there hope for lottery lovers in states like Nevada where lottery ticket sales are prohibited?

The Power of the State

To shed some light on how it’s possible that certain residents of the country can’t buy lottery tickets, it’s important to understand how jurisdiction applies. In terms of lotteries, state law, not federal law, dictates what can and can not happen.

Based on state laws, there are 45 states where lottery playing can happen legally. But five states are set against this:

• Utah
• Nevada
• Hawaii
• Alabama
• Alaska

In some states, it’s possible that this is the preference of a proportion of the people living there, as lottery playing may not align with their cultural or religious views. This may be the case in Utah and Alabama for example.

But Nevada’s stance is confusing, since many locals obviously don’t have an issue with the concept of gambling. After all, the casino industry is thriving.

Yet, lotteries aren’t allowed. What’s the story?

Casino Impact

Although many would argue that casinos and lottery operators could form a powerful team, in Nevada it turned out that the two groups became opposing players in an interesting game.

Some argue that the casinos and resorts—that admittedly help the state’s economy—are set against giving consumers the option of playing the lottery. The theory being that it could draw people away from the casinos and affect these establishments’ streaks of success.

A further opinion is that lottery playing could ultimately result in less tax money, based on the belief that people would visit casinos much less.

Potentially, influential people in the state may advocate this view from the casinos’ perspective, since there hasn’t been any change to the laws regarding lotteries yet.

What’s the Truth?

Of course, casino advocates have the right to state their case. However, the notion that lottery playing will directly impact casino traffic and profit doesn’t carry much weight.

Consider the following facts:

• Habits: Lottery playing and casino playing require different habits. A lottery is usually played a few times a week and takes only a few minutes. In contrast, casino games are attractive to some because it can be a few hours of enjoyment, which turns it into a day’s or evening’s event, much different to filling out a lottery slip. This means that lotteries won’t necessarily impact the casino crowd as much as some might suggest. Casinos are also synonymous with fun elements like music and food. If an individual enjoys visiting a casino, the purchase of a lottery ticket or two is unlikely to keep them from the attraction of visiting their favorite establishments.
• Taxes: Some people suggest that a lotto included loss of casino income will impact the state’s taxes. Even if this were to happen - although it’s not likely—there’s an option of simply increasing the lottery tax on a state level. This is a clear example of the benefit of having lottery rules and regulations set by states themselves instead of following federal guidelines. The state can adjust the rules to benefit their situation. State-level gambling taxes vary from 0% (e.g. California or Texas) to 8.82% (New York) - Nevada could price their taxes higher if they desire.
• Other states: In reply to casinos who worry about their business surviving alongside lotteries, experts often refer to other US states that already support both industries. The entities co-exist in many states, with neither venture lacking in support or clients.

There’s also the possibility of having synergy between lottery operators and casino owners. When experts from both teams work together, it may be possible to create guidelines and orchestrate a lottery in such a way that everyone benefits.

But for this to happen, all parties must be willing to partake in the venture.

The Current Plan B for Nevada Locals

Now, while laws stipulate that Nevada locals aren’t allowed to play the lottery, this isn’t keeping all citizens from taking part. It’s possible and legal to travel outside Nevada and purchase lottery tickets in participating states. There is a slight inconvenience of having to claim your prize in that state as well, but many Nevada locals do it.

For this reason, outlets like the Primm Valley Lotto Store gets a lot of business. With its location being just 50 yards from the border between California and Nevada, it draws clientele from two states. No wonder it’s jokingly called the ‘World’s Busiest Lottery Store’.

And despite these ticket buyers supporting lotteries, the casinos aren’t suffering, are they? Isn’t it better to simply give the people an easier solution and have citizens enjoy the different ways of safe gambling that they like?

Exciting Developments

The passion for lottery—not just casinos—has sparked some people to get into action though. There have been some interesting developments, such as the AJR5 bill. This is a proposal to amend the Nevada Constitution in terms of the sale of lottery tickets. It was introduced in March 2023 and both the Nevada Assembly, and the Senate have voted in favor of it.

That’s only the start, however. There are still various milestones to pass on the road to having lotteries legalized in Nevada. This includes another round of Senate votes to pass the bill, and only then there will be a referendum to amend the state’s constitution. And this will only take place in 2026 at the earliest.

The Future Looks Brighter

For now, Nevada locals still need to travel to California or Arizona to get their Mega Millions or Powerball ticket. But at least there is a chance that somewhere down the line there will be lottery options to enjoy, without the need to leave your neighborhood—or even your home if Nevada becomes so market leading that it also has an online lottery platform.

Will it be a new lottery? Will Nevada simply share in the success of interstate lotteries so you can enjoy Mega Millions in one more US state?

Who knows what the future holds?