A companion piece of legislation to the Frank bill introduced by Rep. Jim McDermott ( D-Wash . ) , the Internet Gambling Regulation and Tax Enforcement Act of 2008 ( H.R. 5523 ) , would ensure the collection of taxes on regulated Internet gambling activities . According to a tax revenue analysis prepared by PricewaterhouseCoopers , taxation of regulated Internet gambling is expected to generate between $ 8.7 billion to $ 42.8 billion in federal revenues over its first 10 years .