RICHMOND, VA (CVILLE RIGHT NOW) – UPDATED TO INCLUDE A GOVERNOR’S OFFICE CLARIFICATION:

Some 500-plus Virginia convenience stores have sold no Virginia Lottery tickets today (Monday), and hundreds will close for an hour tomorrow (Tuesday) afternoon to protest Governor Youngkin’s amendments to skill game legislation passed by the General Assembly. Munir Rassiwala owns Ali’s Place in Scottsville, as well as convenience stores in the Farmville and Gloucester areas, and he says the new framework allowing skill games is crucial to their successful businesses.

But Rassiwala, who is part of the Virginia Merchants and Amusement Coalition says the Governor for some reason wants to add 20% to what is already a 25% tax — the highest in the nation — to the skill games sales. Also, the 35-mile radius the Governor wants to set away from gaming establishments; plus small distances from churches and schools, he says is grossly unfair.

The Governor’s Office disputes the 45% tax claim saying it’s 35%. Five-percent of that 35 would go to a Gaming Regulatory Fund, with any amounts considered excess going to Elementary and Secondary Education Fund. Another five-percent within that 35. is proposed for the College Partnership Laboratory School Fund.

Cessation of lottery ticket sales is to show impact on these stores have on state revenue, and a 1-hour closure from 3:50-to-4:50 Tuesday afternoon show customers, communities, and localities the harmful impact of the amendments.

The full amendment is below:

Taxation.
§ 58.1-4217 [law.lis.virginia.gov]. Gaming tax on gross profits.
A. 1. A gaming tax equal to 35 percent shall be imposed upon all gross profits generated from the play of electronic gaming devices.
2. The gaming tax imposed pursuant to this section shall not apply to any activity regulated under Article 2 (§ 58.1-4030 [law.lis.virginia.gov] et seq.) of Chapter 40 or Chapter 41 (§ 58.1-4100 [law.lis.virginia.gov] et seq.).
B. An amount equal to five percent of the gross profits generated from the play of electronic gaming devices shall be deposited in the Gaming Regulatory Fund established pursuant to § 58.1-4048 [law.lis.virginia.gov] to cover the costs of administration and oversight of electronic gaming devices, including the central accounting system, in accordance with the provisions of this chapter. Any amounts collected pursuant to this subsection that are deemed excess shall be transferred to the Elementary and Secondary Education Fund established pursuant to § 58.1-4219 [law.lis.virginia.gov].
C. An amount equal to five percent of the gross profits generated from the play of electronic gaming devices shall be deposited in the College Partnership Laboratory School Fund established pursuant to § 22.1-349.2 [law.lis.virginia.gov].