The Indian Gaming Regulatory Act (IGRA) was enacted in 1988 to provide a framework for the regulation of gaming on Indian lands. The Act established the National Indian Gaming Commission (NIGC) to monitor and regulate Indian gaming operations, and also created a regulatory scheme for classifying gaming activities based on the level of tribal control and state involvement.
One of the key provisions of IGRA is that it prohibits states from regulating or interfering with Indian gaming activities on tribal lands. This means that states cannot impose any taxes, fees, or regulations on Indian gaming that are not also imposed on other forms of gaming in the state.
However, some states attempted to circumvent this provision by imposing taxes or fees on non-tribal gaming activities that were not imposed on Indian gaming activities. For example, some states tried to require tribes to pay licensing fees or taxes on gaming equipment that were not required of non-tribal gaming operators.
These efforts were challenged in court by tribes, and in some cases, the courts held that the states were attempting to regulate Indian gaming in violation of IGRA. As a result, the NIGC has worked to ensure that states comply with the provisions of IGRA and that Indian gaming operations are not unduly burdened by state taxation or regulation.