UFC President Dana White penned a letter to President Donald Trump pleading for him to reverse a provision of his signature tax law.
White asked the president to undo a 90% cap on gambling loss deductions that was approved as part of his "big beautiful bill," according to a letter first reported by an independent journalist. ESPN reported that the organization independently confirmed the authenticity of the letter.
Traders on prediction market platform Kalshi don't think the law will be repealed this year, but White's letter moved the odds. After the first report of the letter, chances that the cap will be repealed this year jumped to 37% from 20%. They have since fallen back to 29%.
The provision limits how much taxpayers can deduct from their taxable winnings from gambling. Before, if someone won both $5,000 through gambling and lost $5,000, they wouldn't pay any tax. Now, a taxpayer is only able to deduct $4,500, and thus is left with $500 of taxable winnings.
In his letter, White praised Trump's tax law, but said this provision in the package is already causing problems.
